According to the World Cost of Living 2009, Tokyo returns to the top position and Dublin ranks 25th of 143 in the Mercer 2009 Cost of Living city rankings, dropping nine places from 2008.
The decline of rental and food prices in Dublin, coupled with the fall in the value of the euro against the US dollar, has caused Dublin to drop down in the rankings. Noel O'Connor, Senior Consultant at Mercer, commented, "As a direct impact of the economic downturn over the last year many currencies, including the Euro and British pound, have weakened considerably against a strong US dollar causing a number of European cities to plummet in the rankings."
Tokyo has knocked Moscow off the top spot to become the world's most expensive city for expatriates according to the Mercer survey. Osaka is in second position, up nine places since last year, followed by Moscow in third place. Geneva climbs to fourth position and Hong Kong moves up to fifth. Johannesburg in South Africa is the least expensive city in the ranking. The survey covers 143 cities across six continents and measures the comparative cost of over 200 items in each location, including housing, transport, food, clothing, household goods and entertainment. For example, a large fast food hamburger meal can cost up to €7.15 in Dublin compared to €2.68 in Beijing.
The data is used to help multinational companies and governments determine compensation allowance for their expatriate employees. O'Connor also noted, "With significant exposure to multiple economies and currencies, multinational companies continue to be greatly affected by the financial crisis. The cost of expatriate programmes is heavily influenced by currency fluctuations and inflation rates. It is important for multinational companies to continuously review their compensation packages and ensure they are in line with the rest of the market." Tokyo moves up one place in the ranking to become the most expensive city for expatriates both in Asia and globally. The Japanese yen has strengthened considerably against the US dollar which also lifts Osaka into second place from 11th in 2008. Hong Kong follows in fifth place and Singapore has moved up three places to reach 10th. In 140th place, Karachi continues to be the least costly city in this region -- up one place from last year.
Moscow remains the most expensive city in Europe for expatriates in third place. However, a dramatic depreciation of the rouble against the US dollar has led to a sharp fall in the city's index score compared to 2008 (115.4 in 2009 V's 142.4 in 2008). The next European cities in the ranking are Geneva and Zurich in fourth and sixth place, up from eighth and ninth respectively. European cities have experienced some of this year's steepest falls in the ranking, with Warsaw plummeting from 35th to 113th and Glasgow (129th place) and Birmingham (125th place) in the UK falling 60 and 59 places respectively. German and Spanish cities all fell between eight and 11 places, whereas cities in Sweden, Ukraine, Czech Republic, Romania and Hungary all fell between 36 and 48 places. "As most European currencies have weakened against the dollar it has become more costly for companies based in this region to send expatriates and their families to US cities," said O'Connor.
Oslo and London, both previously in the top 10, are now in 14th and 16th place respectively. "The decline of rental prices in both London and Oslo, coupled with the fall in the value of British pound and Norwegian krone against the US dollar, have caused these cities to plummet in the ranking," said O'Connor.
New York remains the highest ranking city in the region and has also joined the global top 10 list this year, jumping from 22nd to 8th place. Los Angeles is up 32 places to 23rd and Washington is up 41 places to 66th. Winston Salem is the cheapest US city surveyed, ranked at 126. All cities in the US have experienced a rise in this year's ranking due to the strengthening of the US dollar.
Canadian cities have slipped down the index with its highest ranking city Toronto down 31 places to 85th. Ottawa drops 36 places to 121st and Montreal is now in 103rd place, down from 72nd in 2008. In 15th place and up 74 places from 2008, Caracas in Venezuela is the top ranking city in South America. Sao Paolo and Rio de Janeiro have experienced a reverse move, plummeting from 25th to 72nd and 31st to 73rd respectively. Buenos Aires has climbed 26 to reach 112th place. "Although the Argentine peso has lost value against the US dollar, the high inflation rate observed on goods and services have caused Buenos Aires to rise in the rankings," said O'Connor.
Showing posts with label New Zealand. Show all posts
Showing posts with label New Zealand. Show all posts
Friday, July 10, 2009
Monday, March 23, 2009
Nepal slips to 121st from 96th as business destination
Nepal slipped 25 places down to rank 121st on the list of the world's best countries for business, compiled by the Forbes. Nepal lost ground in areas like property rights, innovation, technology, red tapism and personal freedom.
Nepal has moved down from its previous 96th position in Forbes' annual list, which ranks 127 nations on the basis of business climate in a country for entrepreneurs, investors and workers. Denmark topped the chart -- for the consecutive second year -- followed by the US that saw an improvement from last year's fourth position.
"This is not a tally of economies with high gross domestic product (GDP) growth, or low unemployment. The goal is to quantify for entrepreneurs and investors the often-qualified information about dynamic economies and what they would consider desirable conditions for business," said the Forbes.
In the South Asian region, all other countries except Bangladesh slipped from their last year's position. India has slipped 11 places to rank 75th while Sri Lanka slipped to 83rd postion from last year's 67th. Pakistan slipped to 101st spot from last year's 83rd. However, Bangladesh moved up four places to 106th position from last year's 110th.
All the South Asian countires posted a negative performance in personal freedom and increased red tapism. But amazingly, Nepal has done better in protection of investors' interests in comparison to other South Asian countries, where they have dismal performance, according to Forbes.
Canada and Singapore moved up four places each to number three and four respectively. Other countries in the top 10 this year include New Zealand, the UK, Sweden, Australia, Hong Kong and Norway. New Zealand, Australia and Norway joined the top 10 list this year while Finland, Ireland and Switzerland were dislodged from this league.
Big movers included New Zealand (no 5, seven places up), followed by Jordan (no 33, 28 places up), Australia (no 8, five places up), the UAE (no 46, 28 places up) and Malaysia (no 25, 13 places up).
According to the report, Nepal has considerable scope for exploiting its potential in hydropower and tourism, areas of recent foreign investment interest. "Prospects for foreign trade or investment in other sectors will remain poor, however, because of the small size of the economy, its technological backwardness, its remoteness, its landlocked geographic location, civil strife and its susceptibility to natural disaster," said Forbes that gives more points to personal freedom.
Amid financial turmoil this year, Forbes added stock market performance to reflect the extent of disrepair in countries' banking systems as well as investor confidence in a recovery. Intellectual property rights, the promotion of free trade and low inflation, combined with low taxes on income and investment, give a snapshot of the conditions for business in each.
Sliding down the most this year was Ireland (no 14, 12 places down), which even saw plans for a Guinness mega-brewery shelved by parent Diageo as exports slowed. Uruguay (no 66, 22 places down), Armenia (no 94, 31 places down), Paraguay (no 99, 29 places down) and Latvia (no 45, 13 places down) rounded out this year's losers.
Nepal's score-card
Trade Freedom - 113
Monetary Freedom - 43
Property Rights - 92 (down)
Innovation - 120 (down)
Technology - 123 (down)
Red Tapism - 79 (down)
Investor Protection - 48
Corruption - 96
Personal Freedom - 94 (down)
Tax Burden - 71
Market Performance - Not Available
Nepal has moved down from its previous 96th position in Forbes' annual list, which ranks 127 nations on the basis of business climate in a country for entrepreneurs, investors and workers. Denmark topped the chart -- for the consecutive second year -- followed by the US that saw an improvement from last year's fourth position.
"This is not a tally of economies with high gross domestic product (GDP) growth, or low unemployment. The goal is to quantify for entrepreneurs and investors the often-qualified information about dynamic economies and what they would consider desirable conditions for business," said the Forbes.
In the South Asian region, all other countries except Bangladesh slipped from their last year's position. India has slipped 11 places to rank 75th while Sri Lanka slipped to 83rd postion from last year's 67th. Pakistan slipped to 101st spot from last year's 83rd. However, Bangladesh moved up four places to 106th position from last year's 110th.
All the South Asian countires posted a negative performance in personal freedom and increased red tapism. But amazingly, Nepal has done better in protection of investors' interests in comparison to other South Asian countries, where they have dismal performance, according to Forbes.
Canada and Singapore moved up four places each to number three and four respectively. Other countries in the top 10 this year include New Zealand, the UK, Sweden, Australia, Hong Kong and Norway. New Zealand, Australia and Norway joined the top 10 list this year while Finland, Ireland and Switzerland were dislodged from this league.
Big movers included New Zealand (no 5, seven places up), followed by Jordan (no 33, 28 places up), Australia (no 8, five places up), the UAE (no 46, 28 places up) and Malaysia (no 25, 13 places up).
According to the report, Nepal has considerable scope for exploiting its potential in hydropower and tourism, areas of recent foreign investment interest. "Prospects for foreign trade or investment in other sectors will remain poor, however, because of the small size of the economy, its technological backwardness, its remoteness, its landlocked geographic location, civil strife and its susceptibility to natural disaster," said Forbes that gives more points to personal freedom.
Amid financial turmoil this year, Forbes added stock market performance to reflect the extent of disrepair in countries' banking systems as well as investor confidence in a recovery. Intellectual property rights, the promotion of free trade and low inflation, combined with low taxes on income and investment, give a snapshot of the conditions for business in each.
Sliding down the most this year was Ireland (no 14, 12 places down), which even saw plans for a Guinness mega-brewery shelved by parent Diageo as exports slowed. Uruguay (no 66, 22 places down), Armenia (no 94, 31 places down), Paraguay (no 99, 29 places down) and Latvia (no 45, 13 places down) rounded out this year's losers.
Nepal's score-card
Trade Freedom - 113
Monetary Freedom - 43
Property Rights - 92 (down)
Innovation - 120 (down)
Technology - 123 (down)
Red Tapism - 79 (down)
Investor Protection - 48
Corruption - 96
Personal Freedom - 94 (down)
Tax Burden - 71
Market Performance - Not Available
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