A new report has revealed that living in Singapore has just become even pricier than living in Hong Kong, making it the most expensive Asian city to reside in.
A place for the wealthy: The “Worldwide Cost of Living 2021” report, which was released on Wednesday by the Economist Intelligence Unit (EIU), states that Singapore jumped two places to tie with Paris at the second spot on the list of the world’s most expensive cities to live in.
- The city-island state, which had consistently held its No. 1 most-expensive global ranking from 2014 to 2019, surpassed Hong Kong to snatch the top spot in Asia this year.
- Tel Aviv rose to the top of the global rankings due to price hikes and currency strength.
- Hong Kong, which held the top spot in 2020, slid to fifth place as commodity prices dropped this year.
- Zurich placed fourth, while New York, Geneva, Copenhagen, Los Angeles and Osaka took the respective sixth to 10th spots.
- Chinese cities have maintained moderate prices, with the top three Chinese cities Shanghai (No. 19), Shenzhen (No. 22) and Beijing (No. 36) rising a few spots.
- The EIU attributed the shake-up to the cities’ inflation rate, which was observed to be the highest in five years.
Cost of living index: The recent report measured the cost of living in 173 cities by comparing the prices of some 200 products and services between August and September this year.
- The costs that were compared include those of food, drink, clothing, household supplies, personal care items, rent, transport and utility bills.
- The data was collected at a period when prices of goods and services were rising due to oil price hikes and other economic factors.
- EIU’s Worldwide Cost of Living Head Upasana Dutt noted that restrictions being re-enforced across the globe amid a resurgence in COVID-19 infections have “disrupted the supply of goods, leading to shortages and higher prices.”
- She also said that consumers’ unpredictable buying behavior influenced how currencies fluctuated during the period.
- Overall, the price of goods and services rose by an average of 3.5% this year, up from last year’s 1.9%.
- Unleaded gas, which rose by 21%, can be purchased in Hong Kong for US$2.50 per liter ($11.40 per gallon).
Featured Image via Sasin Tipchai