Singapore Asia's 8th most expensive city

By Romesh Navaratnarajah:Singapore has dropped two places to eighth spot on the list of most expensive locations in Asia for expatriates, according to the latest Cost of Living survey by ECA International.

Globally, it maintained its 31st position due to the movements of other locations.

Comparing the year-on-year movement between September 2012 and September 2011, the study also found that Beijing (22nd) and Shanghai (26th) were now ranked higher on the global ranking than Singapore.

Despite the drop, Singapore placed higher than Hong Kong, now 32nd on the global list. Tokyo is still the most expensive location in Asia and globally.

"While the cost of ECA's representative basket of goods and services in Singapore increased by 2.7 percent over the past 12 months, this rate is well below the regional average of 6.5 percent. It is also significantly lower than the five percent increase we've witnessed in China over the year," said Lee Quane, Regional Director for Asia at ECA International.

"This, together with the fact that the Renminbi has strengthened against many currencies, including the Singapore dollar, in the same period is making Chinese locations increasingly expensive. This could be stripping them of the competitive edge they once had over other locations in Asia as companies looking to set up in the region might think twice, now, about posting staff to China."

About 425 locations across 193 countries were assessed by ECA International in the survey. Romesh Navaratnarajah, Senior Editor of PropertyGuru, wrote this story. To contact him about this or other stories email romesh@allproperty.com.sg Related Stories:Singapore a favoured spot for millionaires

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