Auckland and Wellington have plummeted down a list of the world’s most expensive cities, thanks to a weaker New Zealand dollar.
The currency’s drop has seen Auckland go from the world’s 15th most expensive city in 2015 to 38th in the Economist’s annual Worldwide Cost of Living report, while Wellington has gone from 16th to 42nd in a year.
Singapore retained the title of the world’s most expensive city for the third year in a row, closely followed by Zurich and Hong Kong in joint second place.
Survey editor Jon Copestake said he could not remember a year as volatile as 2015.
“Falling commodity prices have created deflationary pressures in some countries but in others, currency weakness caused by these falls has led to spiralling inflation,” Mr Copestake said.
The authors said the dollar had fallen significantly from a high two years ago, making cities in New Zealand more affordable to global travellers.
THE WORLD’S 10 MOST EXPENSIVE CITIES
- Hong Kong
- New York
- Los Angeles
NEW ZEALAND RANKINGS
- Auckland (was 15th)
- Wellington (was 16th)
(Source: Economist Intelligence Unit worldwide cost of living survey)