The most expensive cities worldwide - 2018
Expat cost of living ranking
Ranking
EuroCost International's annual cost of living ranking compares expat living costs in major locations worldwide, including housing costs but excluding health and education costs.
The 2018 ranking is based on prices recorded in June 2018 and updated on the basis of September 2018 exchange rates. 272 locations have been considered for this ranking.
Key points
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Hong Kong is now the most expensive city in the world for expatriates. Ranked second last year, the Asian city has now overtaken Luanda. The Angolan capital dropped to 14th place in our ranking, following the devaluation of its currency at the beginning of the year, and in spite of very strong inflation.
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Tokyo has also moved up one place and is now in second position, just ahead of Kinshasa which has entered the top 3.
- Geneva, the top-ranked European city, is still in 4th place. Seoul completes our top 5, replacing Singapore.
Hong Kong is now the most expensive city in the world for expatriates. Ranked second last year, the Asian city has now overtaken Luanda. The Angolan capital dropped to 14th place in our ranking, following the devaluation of its currency at the beginning of the year, and in spite of very strong inflation.
Tokyo has also moved up one place, and is now in second position, followed by Kinshasa which has entered the top 3.
Geneva, the top-ranked European city, is still in 4th place. Seoul completes our top 5, replacing Singapore.
Conversely, some currencies have shown a substantial fall in value against the euro. This applies to the Russian rouble, as a result of which Moscow has dropped in our ranking from 14th to 24th place. Indian and Australian cities have also fallen in our ranking, in response to the loss of value in their respective currencies. Accordingly, Mumbai is no longer in our top 30 ranking, while Sydney has moved from 17th to 25th spot.
In Europe, Swiss cities are still strongly represented at the top end of our ranking. London is also included, climbing to 8th place. Paris, the most expensive city in the euro zone, has entered the top 30 in 30th place. Conversely, Oslo is no longer listed among the top 30, due to the fall in the Norwegian krone.
Regional rankings
Africa
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In response to the fall in the Angolan currency, Luanda has surrendered first place in this regional ranking to Kinshasa, capital city of the Democratic Republic of Congo. Both countries experienced very high inflation this year, although this has now stabilized in DRC. It should also be noted that the Congolese franc is now stable again, following strong depreciation last year. In third position is Bangui, which is still one of the most expensive cities on this continent for expatriates. In Sudan, notwithstanding massive inflation, currency devaluation at the beginning of the year has resulted in a drop of the capital city Khartoum in the ranking. Inflation also remains very high in Egypt, resulting in the gradual rise of Cairo in the ranking. Juba has also risen in the ranking compared to last year. In South Sudan, the local currency is still depreciating, but high prices increases have substantially offset this drop. As was the case last year, Tunis remains the least expensive city in our African ranking, and the regular devaluation of the Tunisian dinar reinforces this trend. |
Americas
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The 10 top-ranked cities in this area are all located in the United States. New York is still ranked first, but Honolulu is now ahead of San Francisco. In Brazil, the local currency has fallen strongly over the last few months, leading to a drop in the cost of living for expatriates, and to a fall in the ranking of Brasilia, Sao Paulo and Rio de Janeiro. A similar trend can be seen in the Argentine capital, Buenos Aires, where inflation is already strong but may worsen over the coming months. Asunción in Paraguay is still the least expensive city on this continent. It should be noted that Caracas in Venezuela has not been included in this ranking, because results may vary significantly according to the exchange rate considered. The situation in this country remains extremely chaotic. |
Asia-Oceania
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The most expensive cities for expatriates in this area are Hong Kong and Tokyo: they also lead world ranking. They are followed by Seoul, then by Singapore. This year, the top-ranked city in China is Beijing which has overtaken Shanghai. In India, the fall in the rupee has led to a slight drop of Indian cities in the ranking. Mumbai is now ranked 10th in the regional ranking, and has dropped out of our worldwide top 30. The least expensive city in Asia is Ulan Bator. In Oceania, Sydney is in first position, in spite of a slight fall in the Australian dollar. |
Europe
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Swiss cities dominate the European ranking, with Geneva in first place (4th worldwide) and Zurich in third place. London has progressed significantly, and is now the second-ranked city in Europe, rising 7 places in the worldwide ranking (to 8th). Conversely, Moscow has experienced a sharp decline, with the Russian rouble falling against the euro over the past few months. Copenhagen still ranks among the most expensive cities, in contrast with other Scandinavian capitals such as Oslo and Stockholm which have fallen in the ranking due to a drop in their respective currencies. In the euro zone, Paris is again the most expensive city. At the bottom of the ranking, Pristina in Kosovo is the cheapest city for expatriates. |
Middle East
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Beirut is still the most expensive city in the Middle East. The cost of living is particularly high for expatriates in the Lebanese capital, specifically as a result of high rents in the secure zones. Cities in the United Arab Emirates are also highly ranked, with Abu Dhabi and Dubai respectively at 17th and 28th position in the global ranking. Damas has climbed significantly in the ranking, mainly due to the rise in the Syrian pound. Finally, Ankara and Istanbul have dropped in the ranking in response to the fall in the Turkish currency, which has accelerated over the past few months. |
Our methodology
EuroCost International 's cost of living surveys are intended to compare the cost of living for expatriates worldwide. They encompass an entire basket of goods and services consumed by expatriates, excluding health and education costs (specific reports are provided for the latter).
The ranking is based on surveys conducted in June 2018 and includes rental costs. It should be noted that the rent prices considered in this study are those paid by expatriates and are not representative of average rents paid by local inhabitants of the locations surveyed.
Rents considered in this ranking are average rents for the various types of housing favoured by expatriates and recorded in the specific areas where they live. In some cities, prices for a specific type of housing can differ significantly from one area to another. This applies, for example, to London, Mumbai and New York. Detailed information for each city can be found in EuroCost International's rent surveys.