Bermuda’s retail sector recorded modest growth in August 2025, with sales volumes rising year-on-year despite mixed performance across key categories, according to the latest Retail Sales Index released by the Ministry of Economy and Labour.

After adjusting for inflation of 2.1 per cent, the overall volume of local retail sales increased by 2.6 per cent compared with August 2024. In value terms, retail sales rose 4.8 per cent to an estimated $102.1 million, reflecting higher prices as well as increased activity. There were 25 shopping days in the month, unchanged from a year earlier.

Four of the seven retail sectors posted annual gains in sales volume. Motor vehicle stores recorded the strongest growth, with volumes up 20.2 per cent and sales value rising 20.8 per cent, continuing a trend of volatility driven by timing of large purchases. Sales at food stores increased 1.1 per cent by volume, while apparel stores saw a marginal rise of 0.6 per cent.

The “all other store types” category — which includes household goods, furniture, appliances, electronics, pharmaceuticals and tourist-related items — reported a 15.3 per cent increase in sales volume and a 16.1 per cent rise in value. Within this group, boat and marine supplies and furniture were notable contributors.

Three sectors experienced year-on-year declines. Building material stores recorded the sharpest fall, with sales volume down 21.5 per cent, suggesting weaker construction-related demand. Liquor store volumes declined 7.9 per cent, while service stations posted a 1.6 per cent decrease.

Selected overseas declarations rose sharply, increasing 51.9 per cent compared with August 2024. The increase was largely driven by higher courier imports, which climbed to $24.2 million, reflecting growth in equipment and household-related imports.

The Retail Sales Index is a key indicator of domestic and tourist demand, covering about 70 per cent of local retail activity.