| The objective of expatriate pay programs is to ensure | | | | 106.Sierra Leone, Freetown (85.92) |
| that employee spending power and standard of living | | | | 107.Equatorial Guinea, Malabo (85.89) |
| is maintained irrespective of global location. How to | | | | 108.USA, Chicago Ill (85.73) |
| achieve this has been an issue many organizations | | | | 109.Romania, Bucharest (85.55) |
| spend considerable time on. | | | | 110.USA, Miami Fla (85.54) |
| Exchange rates are volatile as they are based on | | | | 111.Marshall Islands, Majuro (85.41) |
| short-term factors and are subject to substantial | | | | 112.Cyprus, Nicosia (85.26) |
| distortions from speculative movements, economic | | | | 113.Malta, Velletta (84.99) |
| outlook and government interventions. In the short term, | | | | 114.Moldova, Chisinau (84.89) |
| exchange rates, even when averaged over a period | | | | 115.Ghana, Accra (84.89) |
| of time such as a year, are not a good measure of | | | | 116.United Kingdom, Birmingham (84.76) |
| the comparative value of a salary in relation to its | | | | 117.Canada, Montreal (84.37) |
| comparative international purchasing power. In the | | | | 118.Algeria, Algiers (84.01) |
| short to medium term at least, apparent changes in the | | | | 119.Israel, Jerusalem (83.82) |
| comparative level of remuneration between one | | | | 120.Australia, Brisbane (83.29) |
| country and another may be principally a function of | | | | 121.Burkina Faso, Ouagadougou (82.92) |
| changes in the exchange rate. | | | | 122.Lebanon, Beirut (82.74) |
| A far better measure is salary purchasing power | | | | 123.Jordan, Amman (82.41) |
| parity (SPPP) which is the amount of salary that | | | | 124.Guinea, Conakry (82.16) |
| equalizes the purchasing power of different currencies | | | | 125.Jamaica, Kingston (82.11) |
| given the relative cost of the same basket of goods | | | | 126.Philippines, Manila (82.07) |
| (cost of living) at the exchange rate versus one US | | | | 127.Georgia Republic of, Tbilisi (82.03) |
| Dollar. This means that a given salary, when converted | | | | 128.Congo Democratic Rep, Kinshasa (81.84) |
| into different currencies at the SPPP rates, will buy the | | | | 129.Seychelles, Victoria (81.78) |
| same basket of goods and services in all countries. | | | | 130.Indonesia, Jakarta (81.76) |
| The basket of goods and services used in SPPP | | | | 131.USA, Las Vegas Nev (81.75) |
| calculations is derived on an International basis and | | | | 132.Lithuania, Vilnius (81.67) |
| includes certain items often excluded from expatriate | | | | 133.Vanuatu, Port Vila (81.35) |
| cost of living data (most notably housing costs), | | | | 134.Grenada, Saint George's (81.23) |
| however any or all of the 13 basket groups can be | | | | 135.Trinidad and Tobago, Port-of-Spain (81.13) |
| included or excluded from a calculation. SPPP's provide | | | | 136.Mozambique, Maputo (80.82) |
| a reasonably good picture of the differences in | | | | 137.New Zealand, Auckland (80.71) |
| standards of living for individual's resident and paid in | | | | 138.Samoa, Apia (80.64) |
| different countries. | | | | 139.Congo, Brazzaville (80.14) |
| Internationally comparable data is crucial to forming | | | | 140.Armenia, Yerevan (80.13) |
| sustainable expatriate pay policies and monitoring | | | | 141.Albania, Tirana (80.1) |
| progress. Market exchange rates give misleading | | | | 142.Martinique, Fort-de-France (80.09) |
| comparisons because they do not reflect salary | | | | 143.Latvia, Riga (79.92) |
| purchasing power differences. Salary Purchasing | | | | 144.Thailand, Bangkok (79.86) |
| Power Parities account for price differences between | | | | 145.Sao Tome and Principe, Sao Tome (79.79) |
| countries and so measure real quantities. | | | | 146.USA, Denver Colo (79.74) |
| The ongoing impact of the credit crisis, slowing global | | | | 147.China, Beijing (79.73) |
| economies, falling house prices, global stock market | | | | 148.Fiji, Suva (78.99) |
| and exchange rate volatility, together with the US dollar | | | | 149.Slovenia, Ljubljana (78.85) |
| and Euro strengthening against most currencies are all | | | | 150.Canada, Ottawa (78.82) |
| factors contributing to a major change in relative salary | | | | 151.Tuvalu, Funafuti (78.78) |
| purchasing power, which can be seen from the global | | | | 152.Myanmar, Yangon (78.51) |
| cost of living rankings as at January 2009. | | | | 153.Puerto Rico, San Juan (78.49) |
| London has already dropped from the most expensive | | | | 154.Kenya, Nairobi (78.4) |
| place for expats to live to now rank 6th. New York | | | | 155.USA, Phoenix Ariz (78.26) |
| has dropped to 50th but is now expected to begin to | | | | 156.Mauritius, Port Louis (78.25) |
| climb back up the ranking as the global recession | | | | 157.Madagascar, Antananarivo (78.24) |
| impacts other parts of the world. Tokyo has reclaimed | | | | 158.USA, Tampa Fla (78.22) |
| the title of the most expensive place in the world for | | | | 159.Serbia, Belgrade (78.13) |
| expats in terms of salary purchasing power relative to | | | | 160.Kiribati, South Tarawa (78.06) |
| all other international locations. | | | | 161.Guam, Hagatna (77.8) |
| The salary purchasing power parity rank comprises | | | | 162.Brunei, Bandar Seri Begawan (77.72) |
| cost of living indexes for each of 276 global locations. | | | | 163.Uruguay, Montevideo (77.41) |
| The indexes are calculated using the prices for specific | | | | 164.Colombia, Bogota (77.23) |
| quantities of the same goods and services in each | | | | 165.USA, Atlanta GA (76.99) |
| location, based on expatriate spending patterns across | | | | 166.Morocco, Rabat (76.93) |
| 13 broad categories (Basket Groups). | | | | 167.USA, Milwaukee Wis (76.77) |
| The latest salary purchasing power parity ranking, | | | | 168.Paraguay, Asuncion (76.49) |
| together with the overall cost of living index, sourced | | | | 169.Mexico, Mexico City (76.13) |
| from as at January 2009 is as follows: | | | | 170.USA, Columbus Ohio (76.06) |
| Rank Location (Overall Cost of Living Index New | | | | 171.India, Mumbai (76.04) |
| York=100) | | | | 172.Tanzania, Dar es Salaam (76) |
| 1.Japan, Tokyo (126.03) | | | | 173.Solomon Islands, Honiara (75.93) |
| 2.Norway, Oslo (123.74) | | | | 174.USA, Cleveland Ohio (75.84) |
| 3.Denmark, Copenhagen (121.11) | | | | 175.USA, Detroit Mich (75.74) |
| 4.Switzerland, Geneva (119.59) | | | | 176.Liberia, Monrovia (75.63) |
| 5.Brazil, Brasilia (118.53) | | | | 177.USA, Austin Tex (75.57) |
| 6.United Kingdom, London (118.23) | | | | 178.USA, Dallas Tex (75.47) |
| 7.Greenland, Nuuk (117.14) | | | | 179.USA, Jacksonville Fla (75.47) |
| 8.Switzerland, Zurich (116.18) | | | | 180.Australia, Adelaide (75.39) |
| 9.Hungary, Budapest (114.36) | | | | 181.Kuwait, Kuwait City (75.22) |
| 10.Russia, Moscow (113.41) | | | | 182.Bulgaria, Sofia (75.14) |
| 11.Nigeria, Lagos (112.69) | | | | 183.Saudi Arabia, Riyadh (75.08) |
| 12.Ireland, Dublin (112.65) | | | | 184.USA, Pittsburgh Penn (74.54) |
| 13.New Caledonia, Noumea (112.43) | | | | 185.Timor-Leste, Dili (74.29) |
| 14.France, Paris (112.38) | | | | 186.Iran, Tehran (74.24) |
| 15.Chad, N'Djamena (111.3) | | | | 187.USA, Indianapolis Ind (74.13) |
| 16.Italy, Milan (111.19) | | | | 188.USA, Fort Worth Tex (73.64) |
| 17.Cameroon, Douala (111.06) | | | | 189.Somalia, Mogadishu (73.49) |
| 18.Liechtenstein, Vaduz (110.89) | | | | 190.Maldives, Male (73.48) |
| 19.San Marino, San Marino (110.78) | | | | 191.USA, Charlotte NC (73.47) |
| 20.Monaco, Monaco (109.83) | | | | 192.USA, Houston Tex (73.36) |
| 21.Czech Republic, Prague (109.81) | | | | 193.Chile, Santiago (73.01) |
| 22.Austria, Vienna (109.68) | | | | 194.Mauritania, Nouakchott (72.99) |
| 23.Slovakia, Bratislava (109.31) | | | | 195.Botswana, Gaberone (72.86) |
| 24.Isle of Man, Douglas (108.97) | | | | 196.Cape Verde, Praia (72.81) |
| 25.Poland, Warsaw (107.63) | | | | 197.USA, El Paso Tex (72.61) |
| 26.Bermuda, Hamilton (107.53) | | | | 198.Uganda, Kampala (72.25) |
| 27.Italy, Rome (107.29) | | | | 199.Afghanistan, Kabul (72.13) |
| 28.Finland, Helsinki (107.07) | | | | 200.Antigua and Barbuda, Saint John's (72.04) |
| 29.Australia, Sydney (106.52) | | | | 201.USA, St Louis MO (71.93) |
| 30.USA, San Francisco Calif (104.53) | | | | 202.Malaysia, Kuala Lumpur (71.82) |
| 31.Cote D'Ivoire, Abidjan (104.4) | | | | 203.Peru, Lima (71.7) |
| 32.Venezuela, Caracas (104.02) | | | | 204.Korea Democratic Republic of, Pyongyang (71.62) |
| 33.China, Hong Kong (103.43) | | | | 205.Kosovo, Pristina (71.55) |
| 34.United Arab Emirates, Dubai (103.36) | | | | 206.India, New Delhi (71.4) |
| 35.Croatia, Zagreb (103.29) | | | | 207.Belarus, Minsk (71.28) |
| 36.Angola, Luanda (103.27) | | | | 208.Malawi, Lilongwe (71.24) |
| 37.Belgium, Brussels (103.19) | | | | 209.Saint Kitts and Nevis, Basseterre (71.07) |
| 38.Netherlands, Amsterdam (102.33) | | | | 210.USA, Memphis Tenn (71.02) |
| 39.Jersey, Saint Helier (102.24) | | | | 211.India, Chennai (70.76) |
| 40.Papua New Guinea, Port Moresby (102.22) | | | | 212.Kyrgyzstan, Bishkek (70.29) |
| 41.Korea Republic of, Seoul (101.94) | | | | 213.Burundi, Bujumbura (70.07) |
| 42.Iceland, Reykjavík (101.66) | | | | 214.Macedonia, Skopje (70.02) |
| 43.Ukraine, Kiev (101.2) | | | | 215.USA, San Antonio Tex (70.02) |
| 44.Guernsey, St Peter Port (100.68) | | | | 216.Guatemala, Guatemala City (69.74) |
| 45.Qatar, Doha (100.64) | | | | 217.Honduras, Tegucigalpa (69.57) |
| 46.Central African Republic, Bangui (100.58) | | | | 218.Saint Vincent and the Grenadines, Kingstown (69.5) |
| 47.Spain, Madrid (100.26) | | | | 219.Canada, Calgary (69.46) |
| 48.USA, San Jose Calif (100.13) | | | | 220.India, Calcutta (69.31) |
| 49.Falkland Islands, Stanley (100) | | | | 221.India, Hyderabad (68.85) |
| 50.USA, New York NY (100) | | | | 222.Dominica, Roseau (68.79) |
| 51.Sweden, Stockholm (99.76) | | | | 223.Rwanda, Kigali (68.75) |
| 52.USA, Boston Mass (99.63) | | | | 224.Panama, Panama City (68.58) |
| 53.Cameroon, Yaounde (98.84) | | | | 225.Guyana, Georgetown (68.58) |
| 54.Mali, Bamako (98.74) | | | | 226.China, Shanghai (68.48) |
| 55.Benin, Cotonou (98.6) | | | | 227.Syria, Damascus (67.99) |
| 56.Germany, Berlin (98.18) | | | | 228.Montenegro, Podgorica (67.75) |
| 57.Micronesia, Palikir (97.98) | | | | 229.Laos, Vientiane (67.43) |
| 58.Gabon, Libreville (97.77) | | | | 230.Ethiopia, Addis Ababa (66.87) |
| 59.Canada, Toronto (97.39) | | | | 231.Cuba, Havana (66.61) |
| 60.Germany, Bonn (96.38) | | | | 232.Belize, Belmopan (66.33) |
| 61.Vatican City, Vatican City (96.23) | | | | 233.Nicaragua, Managua (65.89) |
| 62.Australia, Melbourne (95.88) | | | | 234.Nepal, Kathmandu (65.67) |
| 63.Australia, Canberra (95.88) | | | | 235.Dominican Republic, Santo Domingo (64.93) |
| 64.Estonia, Tallinn (95.08) | | | | 236.Tunisia, Tunis (64.87) |
| 65.Turkey, Ankara (94.87) | | | | 237.Suriname, Paramaribo (64.75) |
| 66.Singapore, Singapore (94.6) | | | | 238.India, Bangalore (64.56) |
| 67.Guinea-Bissau, Bissau (94.24) | | | | 239.South Africa, Johannesburg (64.51) |
| 68.USA, Los Angeles Calif (93.93) | | | | 240.Costa Rica, San Jose (64.47) |
| 69.Palau, Melekeok (93.85) | | | | 241.Egypt, Cairo (64.18) |
| 70.Luxembourg, Luxembourg (93.77) | | | | 242.El Salvador, San Salvador (63.34) |
| 71.Canada, Vancouver (93.48) | | | | 243.Swaziland, Mbabane (63.11) |
| 72.Portugal, Lisbon (92.84) | | | | 244.Mongolia, Ulaanbaatar (62.85) |
| 73.Australia, Perth (92.82) | | | | 245.South Africa, Pretoria (62.71) |
| 74.Germany, Frankfurt (92.81) | | | | 246.Oman, Muscat (61.61) |
| 75.Azerbaijan, Baku (92.76) | | | | 247.Saint Lucia, Castries (61.2) |
| 76.Gibraltar, Gibraltar (92.33) | | | | 248.Pakistan, Lahore (59.48) |
| 77.Comores, Moroni (92.04) | | | | 249.Tajikistan, Dushanbe (59.25) |
| 78.USA, Washington DC (91.8) | | | | 250.South Africa, Cape Town (58.99) |
| 79.USA, Philadelphia Pa (91.49) | | | | 251.Namibia, Windhoek (58.89) |
| 80.Nauru, Yaren (91.16) | | | | 252.Sri Lanka, Colombo (58.51) |
| 81.Kazakhstan, Almaty (90.99) | | | | 253.Pakistan, Islamabad (58.33) |
| 82.Bahrain, Manama (90.82) | | | | 254.Iraq, Baghdad (58.25) |
| 83.USA, San Diego Calif (90.7) | | | | 255.Pakistan, Karachi (57.72) |
| 84.Bahamas, Nassau (90.63) | | | | 256.Lesotho, Maseru (57.49) |
| 85.Togo, Lome (90.11) | | | | 257.Argentina, Buenos Aires (57.46) |
| 86.Taiwan, Taipei (90.07) | | | | 258.Bangladesh, Dhaka (57.03) |
| 87.Haiti, Port-au-Prince (90) | | | | 259.Bhutan, Thimphu (56.78) |
| 88.Senegal, Dakar (89.57) | | | | 260.Bolivia, La Paz (56.66) |
| 89.Saint Helena, Jamestown (89.26) | | | | 261.China, Macao (56.41) |
| 90.USA, Baltimore Md (89.25) | | | | 262.South Africa, Durban (56.07) |
| 91.United Kingdom, Glasgow (88.88) | | | | 263.Bosnia and Herzegovina, Sarajevo (54.35) |
| 92.Djibouti, Djibouti (88.45) | | | | 264.Ecuador, Quito (53.83) |
| 93.Niger, Niamey (88.38) | | | | 265.Uzbekistan, Tashkent (53.03) |
| 94.Zambia, Lusaka (88.36) | | | | 266.Libya, Tripoli (52.74) |
| 95.USA, Seattle Wash (88.3) | | | | 267.China, Shenzhen (51.65) |
| 96.Andorra, Andorra la Vella (88.13) | | | | 268.Eritrea, Asmara (50.72) |
| 97.Vietnam, Hanoi (88.03) | | | | 269.China, Dalian (50.54) |
| 98.Tonga, Nuku'Alofa (87.34) | | | | 270.China, Wuhan (49.93) |
| 99.Gambia, Banjul (87.23) | | | | 271.China, Guangzhou (47.28) |
| 100.United Arab Emirates, Abu Dhabi (87.16) | | | | 272.Cambodia, Phnom Penh (45.65) |
| 101.Cayman Islands, George Town (86.81) | | | | 273.Yemen, Sanaa (45.6) |
| 102.Sudan, Khartoum (86.64) | | | | 274.Turkmenistan, Ashgabat (38.77) |
| 103.Greece, Athens (86.59) | | | | 275.China, Tianjin (29.5) |
| 104.Barbados, Bridgetown (86.5) | | | | 276.Zimbabwe, Harare (17. |
| 105.USA, Portland Ore (86.1) | | | | |