NZ cities more appealing – survey

New Zealand’s cities have slipped out of the 100 most expensive to live in, in the world – but that’s not necessarily because it’s become any cheaper to live here.

Mercer has released its latest cost of living survey, which ranks Hong Kong as the most expensive city, followed by Ashgabat, Turkmenistan and Tokyo, Japan.

Auckland came in at 103, down from 89 in 2019. Wellington was 123, down from 114 last year.

Five of the top 10 most expensive cities were in Asia. Mercer said, given the Pacific’s success against Covid-19, the relative affordability of New Zealand cities might make them an attractive place for businesses to station staff.

New York City is used as the base city for all comparisons and currency movements are measured against the US dollar. The survey includes more than 400 cities throughout the world.

‘‘While the actual cost of living in New Zealand has not fallen, we’re seeing New Zealand cities fall in our cost of living ranking due in large part to currency fluctuations from the wake of Covid-19. It is important to look at this index in combination with our quality of living survey because it shows that New Zealand cities are an unbeatable combination for multinational companies with Pacific or Asia aspirations,’’ said Martin Lewington, chief executive for Mercer New Zealand.

‘‘Given New Zealand‘s success against Covid-19, our major cities may become increasingly attractive as locations for businesses to send expatriates,’’ he said.

Economist Tony Alexander

Mercer NZ chief executive said it backed up his view that New Zealand was going to see not just expat Kiwis returning to its shores in the coming year or so in greater numbers than would otherwise be the case – and others staying put here – but that foreigners might also want to shift here for work.

Another economist Cameron Bagrie, said things such as currency movements were largely irrelevant for locals.

‘‘The cost of living needs to be benchmarked against your income and on that front New Zealand is not a cheap place to live.’’

‘‘New Zealand cities are an unbeatable combination for multinational companies with Pacific or Asia aspirations.’’ Martin Lewington