The COVID-19 pandemic had a dramatic effect on retail sales in Ireland. From February 2020 to July 2020 the seasonally adjusted highest monthly decrease in the volume of sales (-35.8% in April 2020) and the highest monthly increase (+38.5% June 2020) were recorded. By July 2020, the month on month increases were less dramatic with a 1.6% increase on June while the annual change was + 6.4%.

When Motor Trades are excluded the seasonally adjusted volume of retail sales increased by 2.8% in July 2020 over the previous month and increased by 5.9% annually when compared with July 2019.  The lowest month on month change was -23.8% in April 2020 and the highest change recorded for this sector was +20.9% in June 2020.

Source: Central Bank of Ireland, Daily Credit & Debit Card Statistics

As a response to COVID-19, the Central Bank of Ireland began collecting and publishing daily Credit & Debit Card Statistics, supplementing their existing monthly data. This high-frequency transactions data is an early indicator for household consumption and economic activity.

The data cover spending and transactions on all euro-denominated credit and debit cards issued to Irish consumers and businesses. This includes all point of sale transactions covering both online and in person transactions (pin and contactless), and ATM withdrawals. 

During the first week of March (pre-COVID-19 restrictions), €1,488 million was spent on debit and credit cards (including ATM withdrawals), and by 16 April this had dropped 41.2% to €875 million. By the week ending 31 August, new spending on debit and credit cards had increased significantly to €1,540 million, a rise of 76.1% from 16 April. (See Figure 32.2)

The number of transactions on debit and credit cards fell 36.2% from 28.38 million to 18.12 million between the first week in March and the week ending 16 April. However, the numbers recovered to 30.02 million by the week ending 31 August, a rise of 65.7% compared with 16 April.

Source: Central Bank of Ireland, Daily Credit & Debit Card Statistics

ATM withdrawals indicate the use of cash to pay for goods and services. During the first week of March, €368 million was withdrawn at ATMs and this dropped 60.0% to €147 million by 16 April but recovered in part to €283 million by 31 August. (See Figure 32.3)

The number of ATM transactions fell by 65.9% from 2.67 million during the first week of March to 0.91 million by 16 April but rose to 1.83 million by 31 August.

However, even with this partial recovery in ATM transactions, the numbers on 31 August remain significantly lower compared with the first week in March, with falls of 23.2% in the amount of cash withdrawn and 31.5% in the number of transactions.