Tel Aviv in Israel was named the world’s most expensive city this year, amid rising inflation and supply chain problems that are driving up the cost of living globally.
This conclusion was obtained by The Economist Intelligence Unit (EIU) which collected data and compiled a list of the cost of living in more than 170 cities around the world.
For the cheapest city, this predicate is occupied by Damascus, the capital of Syria, which is only 200 kilometers from Tel Aviv. In the past decade, the city has been ravaged by civil war.
The EIU survey also showed Paris and Singapore both ranked second on the list of the world’s most expensive cities, followed by Zurich and Hong Kong.
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Then, New York, Geneva, Copenhagen, Los Angeles and Osaka rounded out the 10 most expensive cities in the world.
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Tel Aviv’s rise to become the most expensive city this year was caused by the value of the shekel currency rising against the US dollar, making the cost of living in this city more expensive.
Hong Kongsource image,Reuters
Image caption, From Asia, Hong Kong and Osaka enter the 10 most expensive cities, along with cities in Europe, such as Zurich, Geneva and Copenhagen.
The Shekel strengthened, among other things, due to Israel’s successful implementation of the Covid-19 vaccination program, the EIU said.
The current account Surplus, the attraction of overseas technology investors, and strong economic fundamentals led to the strong value of the Israeli currency
Compared to other cities, alcohol prices, transportation costs, consumer goods, and Recreation costs are higher. From here alone is enough to make Tel Aviv beat the cost of living in Paris.
Last year, Paris was the most expensive city in the world.
In general, the top of the list of the most expensive cities is still dominated by European cities and cities in Asia that are classified as developed countries. Cities in China and in North America are in the middle class.
The cities with the lowest cost of living are mostly in the Middle East and Africa or in poorer regions of Asia.
Damascus became the cheapest city after in seven price categories, the city has always occupied the bottom.
The second cheapest is the capital of Libya, Tripoli, then Tashkent (Uzbekistan), Tunis (Tunisia), Almaty (Kazakhstan), Karachi (Pakistan), Ahmedabad (India), Algiers (Algeria), Buenos Aires (Argentina), and Lusaka (Zambia).
Beyond the top and bottom boards, the EIU also noted that Rome’s (Italy’s) rating fell 16 steps to 48th place, due to a sharp drop in the prices of a number of necessities, including clothing.
Bangkok (Thailand) and Lima (Peru) are also down.
Meanwhile, Tehran (Iran) climbed 50 places to 29th place, due to supply chain problems, scarcity of goods, and rising import prices due to the re-imposition of United States economic sanctions.
Also jumping up was Reykjavik (Iceland), which climbed 21 places to 35th, driven by rising prices in a number of categories, including transportation costs, liquor and other daily necessities.