Cyprus recorded the strongest annual increase in retail trade volume in the European Union in July 2026, according to a report released by Eurostat on Friday, with sales volumes rising 8.6 per cent compared with the same month a year earlier.

The increase put Cyprus ahead of Latvia, where retail trade volume rose 7.1 per cent, and Sweden, which recorded growth of 6.4 per cent.

The strong annual performance came despite a broader monthly decline in retail activity across the EU, with Cyprus instead recording the second-highest monthly increase among member states for which data were available.

Compared with June, Cyprus’ seasonally adjusted retail trade volume increased by 2.0 per cent in July, exceeded only by Latvia’s 2.5 per cent rise.

Luxembourg followed with an increase of 1.8 per cent, the report showed.

By contrast, the largest monthly declines were recorded in Germany, where retail trade volume fell 3.4 per cent, followed by Spain with a 0.9 per cent decline and Italy and Poland with falls of 0.3 per cent each.

Across the euro area, retail trade volume fell by 0.6 per cent month-on-month in July, following a 0.2 per cent increase in June.

EU retail trade volume declined by 0.4 per cent during the month, also after growing 0.2 per cent in June.

The monthly decline in the euro area was driven mainly by non-food products, excluding automotive fuel, where volumes fell 1.4 per cent.

Automotive fuel sold in specialised stores also declined, by 0.8 per cent, while the volume of sales of food, drinks and tobacco increased by 0.4 per cent.

Across the EU, food, drinks and tobacco sales increased by 0.3 per cent, while non-food products declined by 1.1 per cent and automotive fuel sales fell by 1.1 per cent.

On an annual basis, however, retail activity remained in positive territory across both major European groupings.

Compared with July 2025, the calendar-adjusted retail sales index increased by 0.6 per cent in the euro area and by 1.0 per cent across the EU.

In the euro area, annual growth was supported by a 1.6 per cent increase in food, drinks and tobacco sales and a 0.2 per cent rise in non-food products excluding automotive fuel.

Automotive fuel sales in specialised stores fell by 3.1 per cent over the year.

The EU recorded a 1.3 per cent annual increase in food, drinks and tobacco retail volumes and a 0.9 per cent rise in non-food products excluding automotive fuel.

Automotive fuel sales declined by 2.0 per cent, the European statistical office added.

The figures place Cyprus well above the wider European retail trend, with its 8.6 per cent annual increase more than 14 times the euro area growth rate of 0.6 per cent.

Annual declines were recorded in Romania, where retail trade volume fell 5.7 per cent, Germany with a 2.5 per cent decline, Italy with a 1.0 per cent fall and Spain with a 0.7 per cent decrease.

Eurostat’s figures are based on seasonally adjusted data for monthly comparisons and calendar-adjusted data for annual comparisons, with the July figures representing first estimates.