Hong Kong is still the world's priciest market for expats

Currency movements measured against the US dollar drove up the cost of living.

Hong Kong remains as the most expensive city for expatriates both in Asia and globally, despite a double whammy from political tensions and the COVID-19 pandemic, according to Mercer’s 2020 Cost of Living Survey.

The study attributed this to currency movements measured against the US dollar, which drove up the cost of living locally.

As for other expensive markets, Ashgabat, Turkmenistan took second place from Tokyo, Japan, which now ranks third. Zurich, Switzerland followed at fourth, whilst Singapore fell from being third place to fifth place.

The survey also saw a dip in rankings across Chinese cities due to the currency depreciation against the US dollar. The most notable drop was for Shenyang, down 18 places from last year, ranking at 63.

On the other hand, currency appreciation and price increases for goods and services saw Southeast Asian cities like Manila and Jakarta climb in rankings this year. Manila (80) went up 29 spots from last year, whilst Jakarta (86) climbed 19 places. Mumbai (60) is India’s most expensive city, whilst Kolkata (185) ranked as the cheapest Indian city.