HONG KONG, Nov 2, 2009 (AFP) - Hong Kong said Monday 2 November that September retail sales rose 2.4 percent year-on-year - the first increase after seven months of declines - due to an improving economy buoyed by stronger tourism figures.

Total retail sales in September were 21.4 billion Hong Kong dollars (2.8 billion US), the Census and Statistics Department said in a statement.

The latest figures come two weeks after the agency said Hong Kong's unemployment rate fell in the July to September period, the first decline since the start of the global economic crisis in August 2008.

Meanwhile, fuel sales led September's increase with an 11.6 percent rise, the agency said. Sales of consumer durable goods such as appliances, along with watches and jewellery, food, tobacco and electrical goods, rose between 2.3 percent and 8.3 percent, the agency said.

Motor vehicle and parts sales fell the most at 7.8 percent, followed by furniture and apparel, which dropped between 1.3 percent and 5.6 percent.

The overall increase was "in tandem with a further improvement in local consumer spending and also the revival in inbound tourism," a government spokesman said.

A stronger local economy and rising consumer confidence should continue to boost retail sales, the spokesman said.