Kuala Lumpur is Asean’s cheapest city

PETALING JAYA: Kuala Lumpur is the least expensive city in Asean to live in, while Singapore remains the world’s most expensive.

In the Economist Intelligence Unit’s 2017 Worldwide Cost of Living report, Kuala Lumpur was ranked 96th, tied with Bogota, the capital of Columbia.

Five out of the six most expensive cities in the world are in Asia.

Singapore was No 1 on the list for the fourth consecutive year, making it 20% more expensive than New York which was ranked ninth and 5% more than Hong Kong which was ranked second.

Tokyo came in at No 4, Osaka at No 5 and Seoul at No 6.

New York was the only North American city in the top 10.

While Asia dominated the top of the index, European cities saw a gra­dual drop down the rankings from eight cities placing in the top 10 a decade ago to only four.

Zurich, at No 3, was the only European city to be ranked in the top six.

It was followed by Geneva and Paris at No 7, and Copenhagen at No 9.

When it comes to other Asean ci­ties, Manila tied with Bandar Seri Begawan at 92, Jakarta at 82, Ho Chi Minh City and Phnom Penh jointly at 78, Hanoi at 59 and Bangkok at 51.

On the end of the spectrum, the five cheapest cities in the world are Almaty, Lagos, Bangalore, Karachi and Algiers.

The survey compares the prices of 160 goods and services in 133 cities around the world, and is mainly used by human resources managers to calculate compensation packages for overseas postings.

According to the report, Kuala Lumpur’s real GDP is forecast to grow by an average annual rate of 4.4% in 2017 to 2021, slower than previous years.