Services turnover in October up 15.7% YoY, finally exceeds 2019 level
Since the start of the pandemic, this October is the first month for which turnover was higher than in the corresponding month in 2019.
Portugal’s services turnover index rose 3.7% in the month of October and was 15.7% in October of 2020, and for the first time since the start of the pandemic was higher than the corresponding month in 2019, the National Statistics Institute has revealed in a release on Monday.
In the release, the INE explains that the acceleration of 2.7 percentage points from September’s year-on-year increase reflects a base effect, given that the comparison is with a month in which the sector was still very much affected by the pandemic, particularly in the activities of transport and hospitality.
Since the start of the pandemic, this October is the first month for which turnover was higher than in the corresponding month in 2019, up 1.4%, with all segments contributing positively to the change. Wholesale trade, commerce and repair of motor vehicles made the largest contribution, with a year-on-year increase of 11%, following an increase of 11.6% in September.
Wholesale trade, maintenance and repair of motor vehicles, and information and communication activities were at higher levels than before the pandemic, with wholesale trade up 16.2% on the year, or 0.2 percentage points less than in September, and trade, maintenance and repair of motor vehicles and motorbikes decreasing 5.3%, continuing a trend underway since July, and larger than the 3.2% drop in September.
Transport and storage, and consulting, scientific, technical and similar activities recorded activity levels roughly similar to the period before the pandemic crisis, according to the INE.
Transport and storage was up 33.1% on the year (having been up 14.8% in September), with air transport, in particular, continuing its strong recovery, with a year-on-year rise of 142.4% (after 70.5% in September). However, the index for this segment was still 30.2% lower than in October 2019.
Accommodation, restaurants and similar enterprises recorded an increase of 45.8% on the year, against 26.5% in September, with accommodation up 159.4% (after an 82.6% increase in September) and restaurants and similar up 29.4% (after 16.9% in September). Compared with October 2019, the index for this segment was still down 8.8%.
The month-on-month rise in the overall index, of 3.7%, marked an acceleration from that seen in September, which was 2.9%.
As for the indices for employment, pay and hours worked in services, the indices – adjusted for calendar effects – showed year-on-year increases of 2.3%, 3.7% and 0.9%, respectively, following year-on-year increases in September with 1.9%, 2.9% and 0.4%, respectively.
