In spite of the recent valorization of the real compared to the dollar, São Paulo and Rio de Janeiro, in Brazil, continue among the cheapest cities in the world to live in, according to a study by the British consultancy firm Economist Intelligence Unit (EIU).
EIU’s World Cost of Living research places both Brazilian capitals in the 109th position among the 124 cities evaluated, next to Bucharest (Romania) and Lusaka (Zambia). One year ago, Rio held the 108th position, and São Paulo, the 111st in the ranking elaborated by the EIU.
Tokyo continues to be the most expensive place to live in the world, followed by Osaka Kobe, another Japanese city. The third in the ranking is Oslo (Norway), followed by Paris, Copenhagen (Denmark), Zurich (Switzerland), London, Geneva, Reykjavik (Iceland) and Helsinki (Finland).
According to the EIU, the cost of living of the Japanese cities gradually approaches that of the European capitals due to the prolonged disinflation period in Japan’s economy.
Due to the devaluation of the dollar no American city made the list of the 20 more expensive of the planet. New York, the most expensive city in the United States, fell from 13rd to the 23rd place. The cost of living in Atlanta is about half that of Tokyo and is cheaper than the one from Prague, for example.
In Latin America, Mexico City is the most expensive place to live in, occupying the 64th position. Next come Lima, in Peru, and Bogota, in Colombia (both in the 95th place). They are followed by Santiago do Chile (98th) and Montevideo (107th).
Buenos Aires, the Argentinean capital, kept its 116th place in the ranking from the previous year. Teheran (Iran) and Manila (Philippines), both in 124th place, are the cheapest cities in the EIU’s Study.
According to the EIU, there are two main reasons for the changes that occur: prices and exchange moves. To get the results, the EIU converts the costs of each city into dollars.