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December SME Retail Sales in Argentina Fall 5.2% Year on Year After Holiday Lift

Holiday spending offered only brief relief as high costs and weak purchasing power continue to restrain a broader retail recovery.

Overview

  • Seasonally adjusted sales rose 5.2% from November, a temporary boost tied to year‑end shopping and bonus payments, according to CAME.
  • For 2025 overall, SME retail sales edged up 2.5% versus 2024, with gains driven by strong growth in January to April before eight straight year‑on‑year declines from May.
  • Six of seven sub‑sectors fell in December year on year, led by bazaar and home décor (-15%), perfumery (-9.8%) and apparel (-8.5%), while hardware and construction materials rose 0.8%.
  • Merchant sentiment improved modestly: 55% reported conditions similar to a year earlier and 27.6% saw deterioration, down from 37% reporting worsening in November.
  • CAME reports consumers prioritized essentials and promotions, and it says elevated costs and low profitability are curbing investment as retailers look to turn seasonal gains into a sustained 2026 recovery.