The Economist Intelligence Unit’s 2023 Worldwide Cost of Living survey highlights a sustained global cost-of-living crisis, with prices of common goods and services rising by an average of 7.4pc year-on-year, albeit lower than last year’s 8.1pc increase.
Singapore and Zurich are ranked as the most expensive cities, followed by New York, excluding Kyiv and Caracas due to hyperinflation. This year’s survey included 173 major cities.
Utility prices showed the least inflation, thanks to a relaxation from the energy price surge caused by Russia’s invasion of Ukraine. Meanwhile, groceries experienced the highest inflation due to supply chain issues and extreme weather events.
Latin American and European cities have climbed the rankings due to persistent inflation and currency appreciation, while Asian cities, particularly in China and Japan, have seen relatively lower price increases.
In North America, although three US cities (New York, Los Angeles, and San Francisco) are among the top ten most expensive, the region, on average, slipped in the rankings.
Western Europe contributes four of the top ten most expensive cities, driven by sticky inflation in groceries and clothing, along with currency appreciation.
Moscow and St Petersburg in Russia saw the biggest drop in rankings due to weakened rouble amid sanctions.
Among the ten categories in the price index, utility prices rose slower, reflecting the impact of Russia’s invasion fading. However, grocery prices continue to rise significantly.
Top 10 most expensive cities
- Zurich
- Singapore
- New York
- Geneva
- Hong Kong
- Los Angeles
- Paris
- Tel Aviv
- Copenhagen
- San Francisco
