Growth in Hong Kong retail sales remained positive in September 2017, up 1.5%year-on-year, according to the latest Mastercard SpendingPulse™ Hong Kong Report.

Sales recovered from the impact of typhoons in September and were boosted by the launch of new electronics products. Year-to-date sales growth is also positive for the first time since 2015.

Sales in the health and beauty sector saw the strongest growth, while jewelry, clothing and furniture sales continued to recover in September. At the same time, there was close to zero growth in the grocery sector.

“It is encouraging to see consistent spending growth in Hong Kong over the past five months. It shows better consumer confidence in Hong Kong and also reflects increased spending by Mainland Chinese tourists as their numbers rise,”

said Sarah Quinlan, Senior Vice President, Market Insights for Mastercard Advisors.

It will be important to see this spending growth continue as it comes after 21 months of contraction. The trend shows that the economy is on more stable footing with the consumer leading its return.

Analyzing local retail performance and spending, the macroeconomic report uses aggregated and anonymous transaction data, along with all other payment forms including cash, to offer insight into consumer spending trends, providing an early overview of market indices to help retailers, investors, card issuers, banks and government agencies in their decision-making processes.

China’s retail sales grew by over 10% to US$4 trillion in Q1-Q3 2017

Google launched Android Pay yesterday in Hong Kong to speed through purchases in stores and in apps.

Hongkongers can now use Android Pay at over 5,000 locations in Hong Kong where contactless payments are accepted, including stores such as at 7-Eleven, Circle K, Fortress, Mannings, Maxim’s Cakes, MX, McDonald’s, Pacific Coffee, PARKnSHOP, SmarTone, Watsons, Wellcome and more. Android Pay also stores your gift cards, loyalty cards and special offers right on your phone.

Android Pay works with MasterCard and Visa cards from BEA, DBS, Dah Sing Bank, Hang Seng Bank, HSBC, and Standard Chartered Bank in Hong Kong.

Mastercard announced a strategic partnership in the Shanghai Free Trade Zone (SFTZ) where Mastercard will be the global network and payment technology provider for a revolutionary commodities trading platform.

The Cross-Border Commodities Financial Services Platform is a revolutionary eco-system and model, pioneered and tested at the SFTZ, with a view to scale the platform globally. Some of the key benefits of this platform include:

• Greater transparency and accountability – With a fully digital platform from payments to documentation, the Cross-Border Commodities Financial Services Platform is designed to bring greater transparency and accountability to the trade process. It provides authorities and stakeholders with deep and detailed visibility of the full trade cycle, including the payment of duties and subsequent transactions
• Enhanced efficiencies and savings – The platform is designed to bring about significant savings in terms of time and cost to all parties involved in the eco-system. In contrast with the existing system which involves heavy administration and is very labor-intensive, the new platform will enable an efficient and convenient trading environment for all parties
• Deeper connectivity and security – The platform will also bring about deeper connectivity and a higher security for the various parties and stakeholders in the SFTZ. This in turn will enhance collaboration and coordination within the SFTZ, connecting banks, regulatory bodies, bonded warehouses, merchants and businesses through one platform

The platform will also serve as a means to authenticate the credibility of merchants and traders, opening up opportunities for more banks around the world to be a part of SFTZ’s trade financing and encouraging an increased volume of cross-border transactions.

Mastercard sees the Cross-Border Commodities Financial Services Platform as an opportunity to bring its global network together with innovative digital payment technology to create a solution that replaces the previous system, which was burdened by significant administrative and costly processes. Through the platform, Mastercard hopes this will be the model for future global trade hubs, paving the way towards a world without cash.