Hong Kong Is the World’s Most Expensive City for International Employees

Hong Kong has been the world’s most expensive city for International employees for the third consecutive year. A poll by Moneyzine.com ranked Hong Kong, Zurich, Geneva, Basel, and Bern as the world’s most expensive cities.

Lucas Eales, the CEO of Moneyzine, attributes the high cost of living to inflation and COVID-19. “Inflation in Hong Kong, spurred by fuel costs, is a major catalyst for high living costs. Besides, the city is still struggling with COVID-19. Unlike Singapore and other cities, Hong Kong maintained severe social isolation and travel restrictions.”

The unsustained resilience of the Hong Kong dollar, tied to the value of the US dollar, in contrast to other currencies, has contributed to the city’s high cost of living.

Moneyzine compared data between March 2021 and March 2022 during the survey. The critical indicators included home items, food, apparel, recreational goods, and services. Additionally, It considered alcohol, tobacco, and transport expenses..

Hong Kong’s Desirability Is Going Down

Singapore’s rental expenses are rising due to the high number of individuals moving to or returning to the city-state from Hong Kong. Yet, price increases on many fronts, such as electricity and gasoline, have put Hong Kong’s regional rival in the eighth position.

Most companies are witnessing talent outflow. Experts are returning to their home countries or relocating to new countries. To many, Singapore and Dubai provide the best alternative. Thus, they are reaping the benefits of the Hong Kong exodus.

Prices of Essential Goods and Services
Moneyzine developed its inflation rate based on a basket of ordinary goods and services. It discovered that prices in Hong Kong had increased by 3 percent as of March.

When determining a city’s attractiveness, many factors come into play. While living costs are an essential consideration, so is housing affordability. Moreover, the quality of life, measured by different metrics such as safety and sanitation and environmental friendliness or educational standards,