In September 2025, EU retail sales showed signs of mild recovery. According to the latest data, retail sales rose 1.3% year-on-year and 0.2% month-on-month, continuing the gradual rebound seen since the beginning of the year. The figures indicate that while overall consumption growth has slowed, household purchasing power remains broadly stable, with marginal improvement in demand. Looking at the past six months, retail sales growth has declined steadily, falling from 2.9% in April to 1.3% in September. This trend reflects a phase of adjustment following stronger-than-expected early-year spending. By category, food, beverages, and tobacco sales grew 2.1%, showing relative resilience; non-food items (excluding fuel) rose 1.9%, indicating sustained demand for everyday goods. However, high-value durable goods consumption may have slowed due to ongoing inflationary pressures. Overall, while EU retail sales are not experiencing significant expansion, they remain in positive territory, reflecting persistent consumer confidence. As economic conditions stabilize, the consumption market is likely to undergo structural adjustments at a low growth rate. Policymakers should carefully balance persistent inflation with real income growth to further unlock domestic demand potential.