Luanda named the most expensive African city for expats

Luanda Angola the most expensiveIn the global list, Luanda, Angola has dropped a place to since last year to take the spot as the world’s second most expensive country for expatriates. (Image Source: David Stanley/Flickr)Mercer’s 2016 Cost of Living Survey has named Luanda, Angola, as the most expensive African city for expatriates

According to the survey, Hong Kong is the most expensive city for expatriates in the world, followed by Luanda, Angola, in second position. Zurich and Singapore remain in third and fourth positions, respectively, whereas Tokyo is in fifth, rises six places from last year. Kinshasa, DR Congo, was ranked sixth and appears for the first time in the top 10, rising seven places since 2015.

Other cities appearing in the top 10 of Mercer’s costliest cities for expatriates are Shanghai (7), Geneva (8), N’Djamena (9) and Beijing (10). The world’s least expensive cities for expatriates, according to Mercer’s survey, are Windhoek (209), Cape Town (208) and Bishkek (207).

Mercer's widely recognized survey is designed to help multinational companies and governments determine compensation strategies for their expatriate employees. This year's ranking includes 209 cities across five continents and measures the comparative cost of more than 200 items in each location, including housing, transportation, food, clothing, household goods, and entertainment.

In Africa, despite dropping off the top spot on the global list, Luanda, Angola (2) remains the highest ranking city in Africa followed by Kinshasa (6). Moving up one spot, N'Djamena (9) is the next African city on the list, followed by Lagos, Nigeria (13) which is up seven places. Dropping three spots, Windhoek (209) in Namibia ranks as the least expensive city in the region and globally. Johannesburg and Cape Town have also dropped fourteen and eight places consecutively.

The report pointed out that despite volatile global markets and growing security issues, organizations continue to leverage global expansion strategies to remain competitive and to grow. Factors including currency fluctuations, cost inflation for goods and services, and instability of accommodation prices, were cited as contributing to the cost of expatriate packages for employees on international assignments.

List of the most expensive African cities for expatriats

Ranking in Africa World Ranking City Country
1 2 Luanda Angola
2 6 Kinshasa

      Dem. Rep. of the Congo

3 9 Ndjamena Chad
4 13 Lagos Nigeria
5 16 Victoria Seychelles
6 20 Abuja Nigeria
7 23 Brazzaville Congo
8 28 Libreville Gabon
9 36 Conakry Guinea
10 40 Djibouti Djibouti
11 47 Accra Ghana
12 50 Yaounde Cameroun
13 56 Abidjan

Côte d'Ivoire

14 62 Bangui Central African Republic
15 70 Douala Cameroun
16 79 Dakar Senegal
17 91 Cairo Egypt
18 115 Bamako Mali
19 116 Nairobi Kenya
20 124 Cotonou Benin
21 130 Casablanca Morocco
22 132 Lome Togo
23 139 Kigali Rwanda
24 143 Addis Ababa Ethiopia
25 146 Ouagadougou Burkina Faso
26 149 Niamey Niger
27 157 Harare Zimbabwe
28 164 Maputo Mozambique
29 168 Rabat Morocco
30 174 Dar Es Salaam Tanzania
31 178 Nouakchott Mauritania
32 179 Banjul Gambia
33 185 Algiers Algeria
34 187 Kampala Uganda
35 200 Lusaka Zambia
36 201 Gaborone Botswana
37 203 Tunis Tunisia
38 205 Johannesburg South Africa
39 206 Blantyre Malawi
40 208 Cape Town South Africa
41 209 Windhoek Namibia

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