Singapore ranked 5th costliest city in the world for expats: survey

Hong Kong follows closely.

According to Mercer's 2013 Cost of Living Survey, although more European cities dominate the world’s costliest locations for expatriates, several cities in Asia are among the top 10 while Luanda holds the number one position.

The survey covers 214 cities across five continents and measures the comparative cost of over 200 items in each location, including housing, transportation, food, clothing, household goods, and entertainment.

The difference in cost for these items can be dramatic. For example the cost of a cup of coffee in Managua, Nicaragua is $1.54 compared to $8.29 in Moscow; a fast food hamburger meal is $3.62 in Kolkata (Calcutta), India, versus $13.49 in Caracas, and a cinema ticket is $5.91 in Johannesburg compared to $20.10 in London. These are but a few examples of the thousands of comparisons to be found in Mercer’s full report that aid employers in setting cost of living and other expatriate allowances.

The cost of expatriate housing is typically the biggest expense for employers, and it plays an important part in determining the rankings. The Russian capital of Moscow follows Luanda as the second most expensive city because of high costs for rental accommodation and imported goods and services commonly purchased by expatriates commanding a premium. A luxury two bedroom unfurnished apartment rental for one month in Moscow is $4,600 a month or 14 times as much than Karachi. Rounding out the top five most expensive cities for expatriate living, which also have pricey rental accommodations, are Tokyo, the Chad city Ndjamena, and Singapore.