Oct tourist arrivals soar 760.9 after September39;s 568.5 growth
Oct jewellery, watch sales up 13.6 yy vs September39;s 6.8 rise
Govt says tightened financial conditions may pose challenge

HONG KONG, Dec 1 Reuters Hong Kong39;s retail sales rose in October helped by improved tourism from eased pandemic restrictions and disbursement of a new batch of consumption vouchers,but the government warned of tightened financial conditions while releasing Thursday39;s data.

October retail sales rose 3.9 from a year earlier in value terms to stand at HK31.9 billion 4.10 billion. That compared with HK28.1 billion in September, when retail sales climbed 0.3 from a year earlier.

Strict COVID19 restrictions have weighed on Hong Kong39;s economy since early 2020, grinding tourism to a halt and battering sales at bars, restaurants and shops.

The city scrapped a hotel quarantine requirement for all incoming visitors in September, after closely following China39;s zeroCOVID policy over the past two years.

As long as the local epidemic situation remains under control and the various restrictive measures can be relaxed in an orderly manner, consumptionrelated activities should gradually regain momentum, a government spokesman said.

The government said improved labour market conditions and the Consumption Voucher Scheme will continue to support demand though tightened financial conditions will partly offset the effects.

The city is facing headwinds from high inflationary pressure…