Singapore has been ranked as the third most expensive destination in Asia for expats, behind Japan and South Korea, according to human resource firm ECA International.
This was largely attributed to the strengthening of the Singapore dollar, which rose by over 10 percent against major currencies, placing the country in third spot, above Hong Kong.
“While we are seeing price increases in a number of Asian locations, the main reason for Singapore’s rise in our ranking over the past 12 months is the strength of the currency,” said Lee Quane, Regional Director of ECA International.
He noted that allowances paid to protect the buying power of employees on long-term assignments are now higher than those paid to international executives in other financial centres.
Meanwhile, Hong Kong fell one spot to seventh most expensive city for expats this year, making it only marginally more expensive than Beijing and Shanghai, which ranked eighth and ninth respectively.
ECA International conducts the survey twice a year in more than 400 locations worldwide, measuring common items purchased by expatriates, such as dairy products, clothing, vegetables and meals out.
The firm explained that the survey does not include housing, car, utilities and school expenses, as these could make a significant difference to costs. However, these are often compensated for separately in expatriate packages.
To contact the journalist, you may send your message to editor@propertyguru.com.sg