South Africa is the cheapest country in the world to live, and that is based on a GOBankingRates study which ranked nations by four key affordability metrics that include; local purchasing power index, rent, groceries and consumer price index.
As related, “South Africa is the cheapest country to live or retire in. It’s also the world’s largest producer of platinum, gold and chromium, which goes far to enrich the country and its economy. This resulted in a local purchasing power…
Along with a higher local purchasing power, South Africa also offers lower prices on consumer goods and groceries, and rent costs that are typical of the 50 cheapest countries.
In the major city of Cape Town, for instance, monthly expenses total just under $400 while the average rent costs are reflected by the typical price to rent a one-bedroom in Durban of around $280 a month.”
However, to those living in South Africa, there is no reason to be happy about what was stated above except if you earn your income in US Dollar. This is so because the study was conducted on the basis of the American dollar being stronger to those of other currencies. So essentially, South Africa (as a layman would explain) is the cheapest country because few US dollar earned can amount to many rand if you are to live and spend them in South Africa.
According to the full ranking list of the 112 countries surveyed by GOBankingRates, below are the top 10 list of the cheapest and most expensive countries to live.
Top 10 Most Expensive Countries To Live
- Hong Kong
Top 10 Cheapest Countries To Live
- South Africa
- Saudi Arabia
- Czech Republic
The GOBankingRates came up with the rankings from a “cost of living indices sourced from online pricing database Numbeo.com.” They “surveyed cost indicators for major cities in the 112 nations for which Numbeo had recent and accurate data, using the median cost indicators of the cities to generate a typical cost index for the country.”
Accordingly, each country’s local purchasing power measures “the local buying power of typical incomes, cost index of consumer goods and service, cost index of rents and cost index of groceries.
Countries were scored on the relative favorability of these factors, with each weighted equally, and ranked according to” the scores.