Singapore and Zurich tied to become the world's most expensive cities to live in this year, while Hong Kong fell to fifth place, according to a new global survey.
Geneva tied with New York for the third place, with the Big Apple losing the top spot.
In the Economist Intelligence Unit's Worldwide Cost of Living 2023 report, Asia consistently undergoes relatively moderate price increases compared to other regions.
Among Chinese cities, Nanjing, Wuxi, Dalian and Beijing saw considerable drops in the rankings this year along with Japan's Osaka and Tokyo, which can be attributed to the depreciation of local currencies, including the yuan and yen, against the US dollar.
Tokyo and Beijing fell in the rankings by 23 and 26 positions respectively, placing them jointly at 60th.
The cost of living index for both cities is 69. In comparison, Hong Kong has a cost of living index of 98.
The survey, conducted from August 14 to September 11 this year, compared the prices of over 200 products and services across 173 cities.
The index was decided by referencing the prices of individually weighted items including groceries, household supplies, personal care, alcohol, tobacco, clothing, domestic help, recreation, transport and utilities.
On average, prices have risen by 7.4 percent year-on-year in terms of local currency for over 200 commonly used goods and services, a drop from a record 8.1 percent increase last year but still "significantly higher than the trend in 2017-2021," the EIU said in their report.
Singapore returned to the top of the rankings for the ninth time in the past 11 years due to high prices across several categories.
The city state has the world's highest transport prices due to strict government controls over the total number of cars. It is also among the most expensive for clothing, groceries and alcohol.
The report converted local currencies into US dollars for calculating the cost of living.
Due to the appreciation of the Swiss franc against the US dollar, Zurich went from sixth place in 2022 to tying for first with Singapore.
EIU anticipates a further slowdown in inflation next year.
However, should the conflict between Israel and Hamas escalate further, it could lead to an increase in energy prices.
Hong Kong had a cost of living index of 98 compared to Beijing's 69. Reuters
