SINGAPORE: The soaring cost of cars and utilities as well as a strong currency have made Singapore the world’s most expensive city, toppling Tokyo from the top spot, according to a survey on Tuesday.
Tokyo’s weakening yen saw it slide to sixth place, the position previously occupied by Singapore, in the 2014 Worldwide Cost of Living survey by the Economist Intelligence Unit (EIU).
“Singapore’s rising price prominence has been steady rather than spectacular,” said a report accompanying the survey by the research firm.
It said a 40 percent rise in the Singapore dollar along with “solid price inflation” pushed the country to the top of the twice-yearly survey from 18th a decade ago.
The survey, which examines prices across 160 products and services in 140 cities, is aimed at helping companies calculate allowances for executives being sent overseas.
The report said Singapore’s curbs on car ownership, which include a quota system and high taxes, made it “significantly more expensive than any other location when it comes to running a car.”
A new Toyota Corolla Altis costs $110,000 in Singapore compared to around $35,000 in neighboring Malaysia.
Overall transport costs in Singapore are almost three times higher than those in New York, it said.
“In addition, as a city-state with very few natural resources to speak of, Singapore is reliant on other countries for energy and water supplies, making it the third most expensive destination for utility costs,” the report said.