Dubai is getting more expensive (compared to the rest of the world)

A strong US dollar means Dubai and Abu Dhabi are now the 21st and 25th priciest cities to live in worldwide.

The results of the annual Mercer Cost Of Living Survey have landed – the huge study ranks the world’s cities based on how expensive they are to live in. In it Dubai has moved up two spots from 23 to 21, making it one of the more expensive cities to live in worldwide. Meanwhile, Abu Dhabi has shot up 8 places: it was 33rd in 2015 but is now 25.

The rise in the rankings for the UAE cities is more to do with the fact that the US dollar, which the Dirham is pegged to, hasn’t fallen as much as other global currencies. Also, a lot of the study is based on 2015 when rents in Dubai were still very high (the good news for tenants is that they are beginning to truly soften now).

HOW DOES IT WORK?

The survey is designed to help companies figure out renumeration for expat employees. It takes into account the prices for over 200 goods and services in a city in order to create the ranking, including housing, transportation, food, clothing, household goods and entertainment. This year the survey analysed the numbers in 370 cities worldwide, and ranked 209 cities across five continents.

Globally, Hong Kong, Luanda and Zurich ranked as the three most expensive cities, while regionally Beirut was the third most expensive city in the Middle East at 50. Meanwhile, Riyadh jumped up from 71st spot to become the 57th most expensive city in the world to live in while Jeddah went from 151 to 121.

HERE ARE THE 50 MOST EXPENSIVE CITIES TO LIVE IN…