Tel Aviv is world’s priciest city, outranks Paris in new report
The Israeli city has overtaken Paris, which is now tied with Singapore as the 2nd most expensive
TEL AVIV: Residents of Israel’s seaside metropolis Tel Aviv have for years complained of how expensive it is, with living costs taking a chunk out of their paychecks.
Now, a new report affirms their quibbles. Tel Aviv has emerged as the most expensive city to live in, according to the Economist Intelligence Unit, a research group linked to the Economist magazine. The city, which was previously ranked fifth most expensive, has now surpassed other pricy places like Paris and Singapore.
Economists attribute the jump to a strong appreciation of the shekel against the dollar. In its report on Wednesday, the Economist Intelligence Unit also pointed to a rise in grocery and transport costs. The report did not include housing prices — another common complaint among young professionals and families trying to live in the bustling city.
“It’s really hard to live here. You pay the rent and you pay for something small and you live, like, from paycheck to paycheck so it’s really hard,” said Ziv Toledano, a transplant from northern Israel. He said his expenses have nearly doubled in Tel Aviv.
Israeli news outlets constantly compare the prices of basic goods in Israel to other Western nations, hammering into audiences what has been clear to their wallets for years: that the country is far more expensive than others.
Tel Aviv is Israel’s financial and cultural epicentre. It boasts a thriving high-tech scene, world-class restaurants and a stretch of Mediterranean beach lined by gleaming new hotels and condominiums.
The shekel is one of the world’s strongest currencies, with its value buoyed in large part by heavy foreign investment in the local high tech scene.
Dan Ben-David, head of the Shoresh Institution for Socioeconomic Research and an economist at Tel Aviv University, said goods and services in Israel, in general, are more expensive than in other countries.