WATCH: report - South Africa is the world's cheapest country to live in
Smile South Africa! You've been ranked the cheapest country to live in - in the world! Is this a good or a bad thing, though?
A report by Numbeo - the world’s largest database of user contributed data about cities and countries worldwide, has revealed South Africa as the cheapest place to live and retire in.
Numbeo provides current and timely data on world living conditions including health care, cost of living, traffic, pollution, housing indicators, and crime.
The database company used four key affordability metrics:
- Local purchasing power index: Measures the relative purchasing power of a typical salary in that country, compared to New York City. A lower purchasing power buys fewer goods, while a higher purchasing power buys more.
- Rent index: Compares typical rental prices in the country to New York City.
- Groceries index: Compares typical grocery prices in the country to New York City.
- Consumer price index: Compares costs of local goods and services — including restaurants, groceries, transportation, and utilities — to New York City.
"South Africa is the cheapest country to live or retire. 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 that's significantly higher than what New Yorkers face, which is the most favorable factor that puts South Africa at No. 1. 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," the report states.
The top ten cheapest countries to live in after South Africa are:
India
Kosovo
Saudi Arabia
Kazakhstan
Zambia
Oman
Paraguay
Czech Republic
Macedonia