Angola: Study ranks Luanda as most expensive city in the world

27 November 2007

Singapore, 27 Nov – Luanda, the capital of Angola is the world’s most expensive city for foreign workers, according to a study by Human Resources company ECA International, published Monday in Singapore.

Luanda is followed by Oslo, Moscow, Stavanger (Norway), Copenhagen, Kinshasa, Seoul, Libreville (Gabon), Geneve and Central London, in tenth place.

The study was based on prices over the last 12 months of a basket of 128 goods and services usual purchased by ex-patriots in 300 locations around the world, with the figures used by companies to calculate additional payments to workers abroad.

The basket of goods includes food (dairy, meat and fish, fresh fruit and vegetables), drinks and tobacco, services, clothes, household electrical goods, cars and parts, as well as restaurant meals.

Another study published last week by real estate consultancy Worx pointed to a lack of new quality housing projects, “except for areas aimed at oil workers,” as the reason for the high purchase and rental prices in the Angolan capital, which are the highest in the whole of Africa.

“With high demand, rental prices have reached record levels for the African continent,” with figures for monthly “prime rent” for a five-bedroom home reaching around US$12,000 per square meter.

Worx explained that these figures were the result of 27 years of civil war in Angola (1975-2002), as well as a lack of investment over the last few years. (macauhub)