Join the conversation:

The Economist: Caracas is the sixth most expensive city in the world

The Economist: Caracas is the sixth most expensive city in the world

Posted by Dubraswka Aguilar on March 05, 2014

The British magazine The Economist positioned Venezuela’s capital as the sixth most expensive city in the world. Consistent to the study, Caracas is indeed the most costly in the Americas.

The analysis, called Global Cost of Living 2014, said that Caracas is as expensive as the Japanese capital, Tokyo, which was ranked as the city with the highest cost of living in the world in 2013, according to BBC review.

According to The Economist, Caracas, which is in sixth place alongside Melbourne, Geneva and Tokyo, occupies such a high position mainly due to the imposition of a kind of artificially high official rate.

"The official value of the dollar (6.3 bolivars) is being undermined by the black market that gives a lower value to a tenth of that amount. If the alternative exchange rates were applied, Caracas could comfortably become in the world’s cheapest city,” says the magazine.

According to this worldwide cost of living survey, Singapore is the most expensive city in the world, followed by Paris and Oslo.

“Transport costs in Singapore are almost three times higher than in New York. In addition, as a city-state with very few natural resources to speak of, Singapore is reliant on other countries for energy and water supplies, making it the third most expensive destination for utility costs,” states The Economist.

Link To Full Article: 

Facebook comments



Monthly newsletter featuring articles hand picked by our country managers from the best content across PanamericanWorld.



Monthly newsletter featuring articles hand picked by our country managers from the best content across the Caribbean Region on PanamericanWorld.

PANAMERICANWORLD COUNTRIES