The Economist Intelligence Unit (EIU) released a number of the most expensive cities in the world throughout 2020.
The cities of Zurich (Switzerland), Paris (France), and Hong Kong (China). They are in the top ranks of the most expensive cities in this world.
The determination of Zurich and Paris as the most expensive cities shifted the previous cities. The most expensive cities previously are Singapore and Osaka.
The two cities dropped their ranks to fourth and fifth. Respectively due to deflationary pressures due to shrinking domestic demand and government action.
Hong Kong still remains most expensive city
As for Hong Kong, it still remains and is the single top most expensive city in Asia.
EIU said, some cities in China are currently showing a ranking increase. Of course, the trade war between the US and China has provided experience as well as tested the resilience of the supply chain and raised consumer prices (income).
The EIU also explained that Covid-19 had a very serious impact on prices and income conditions.
In fact, this upward trend in prices will continue into 2021 as spending remains restricted and prices are under downward pressure.
The survey was conducted by comparing 138 items of item prices in 130 cities around the world.
The move by Paris and Zurich to join Hong Kong at the top was driven by increases in the euro and Swiss franc against the US dollar, as well as comparative declines in the cost of living in the two Asian cities that were previously top-ranked.