HONG KONG has become the second most expensive city in the world to live in.
The strengthening US dollar to which the local currency is pegged has pushed Hong Kong seven places up the ranking.
It joins Zurich (蘇黎世) at No 2 behind Singapore (新加坡) in the Economist Intelligence Unit’s (經濟學人智庫) Worldwide Cost of Living Survey (全球生活費用調查). The index compares the price of a basket of goods in 133 cities.
London (倫敦) moved up to sixth place, New York (紐約) to seventh and Los Angeles (洛杉磯) to eighth, displacing Sydney (悉尼), Melbourne (墨爾本) and Oslo (奧斯陸) from the 10 most expensive cities.
Fourth was Geneva (日內瓦 ) and fifth Paris (巴黎 ), with three at No 8 – Los Angeles, Copenhagen (哥本哈根) and Seoul (首爾).
Exchange rate moves are a significant factor in the change in rankings. The report listed several daily items to demonstrate differences in prices.
One kilogram of bread costs an average of US$4.36 (HK$34) in Hong Kong compared with US$3.40 in Singapore and US$2.46 in London.
But wine lovers will be glad to hear that it costs only US$16.47 to buy a bottle of table wine in Hong Kong, less than Singapore’s US$22.39.
Drivers, however, would prefer Singapore, where a litre of unleaded petrol costs US$1.46 compared with US$1.76 in Hong Kong. Hong Kong’s cost of basic groceries is 28 percent higher than in Singapore, the think tank found.
Under the current trend, Hongkongers may be seeing cost savings due to lower import prices.
(This article is published on The Student Standard on 15 March 2016)
What is the EIU Worldwide Cost of Living Survey?
Cost of living in Hong Kong