Retailers continued to feel the pain as sales plunged for the 16th consecutive month, with the apparel sector suffering the most - down 20 percent for August, according to the latest Government statistics.

The Department of Statistics' Retail Sales Index revealed that sales volume slumped 6.7 percent or $4 million during August 2009 compared to the same period last year - less than the figures for the previous three months, but more than March or April.

Meanwhile Bermuda's current account surplus dropped $97 million year-over-year to $265 million in this year's second quarter, as per the Balance of Payments report.

All broad categories of receipts and payments were lower in Q2 2009 versus 2008, excluding current transfers, with $277 million spent on imported goods, representing a $24 million fall over the previous year, while revenue from exports decreased by $2 million over the same period in 2008.

Payments for services totalled $241 million in the second quarter of this year, with a $1 million surplus recorded on Government services, due mainly to a $3 million increase in receipts over Q2 2008.

Income receipts accounted for $464 million, a decline of $95 million compared to the level posted in the same quarter last year, directly attributed to a $97 million drop in investment income as residents reduced their assets held in overseas markets, while income payments on non-resident investments fell by $13 million to $39 million.

In terms of retail sales, apparel traders felt the impact of reduced customer spending, with takings down for the 14th consecutive month, and other sectors did not fare much better as fuel pump sales decreased 11 percent for August, mostly as a result of a 10 percent decline in the price of fuel year-on-year.

Motor dealers also experienced the fourth straight month of falling sales, reporting a one percent fall in revenue in August 2009 resulting from weak consumer demand for vehicles currently in stock. In contrast, cycle sales more than quadrupled compared with August 2008.

Building material sales slid during August versus the same period last year as gross sales dipped one percent, registering the sixth decline for the first eight months of 2009. Lower sales were linked to a contraction in new construction starts and slower workloads.

A five percent rise in food prices boosted sales for grocery stores by less than one percent, but liquor sales advanced by four percent over the same period in 2008.