Hong Kong Tops List of Costliest Expat Hubs

A new survey ranking the most and least expensive destinations for expatriates has revealed significant disparities in the cost of living worldwide. According to Mercer’s 2025 Cost of Living Survey, Hong Kong retains its position as the priciest city for expats, driven by steep housing costs, high transportation fees, and elevated prices for everyday essentials.

Close behind are Singapore, Zurich, Geneva, and New York City, rounding out the top five. These global hubs attract multinational corporations and professionals, but their financial strain on expats remains a defining challenge. Rising rents and inflation have only intensified the pressure in recent years, particularly in Asia’s leading financial centers.

At the opposite end of the spectrum, cities such as Havana, Windhoek, and Islamabad emerged as some of the most affordable for foreign workers. These destinations offer relatively low housing, food, and transportation expenses, though they may also come with trade-offs such as limited infrastructure, fewer international schools, or less developed healthcare systems.

Mercer’s study takes into account over 200 factors, including housing, utilities, transportation, food, clothing, and entertainment, making it one of the most comprehensive benchmarks for employers managing expatriate compensation.

For companies, these findings highlight the importance of carefully considering location when assigning employees overseas. For individuals, the survey underscores the reality that choosing an expat destination isn’t just about lifestyle—it’s also about affordability.

With the cost of living varying dramatically across the globe, the survey serves as a key guide for both corporations and professionals navigating international relocation.

Sources: AirGuide Business airguide.info, bing.com