These are the most expensive cities in the world for expatriates

Hong Kong is the most expensive city in the world for expatriates, according to the cost of living report produced by the Mercer consulting firm.

The financial center dominates a list dominated by Asia with Tokyo in second place, Singapore fourth, Seoul fifth, Shanghai seventh and Beijing ninth. Outside of Asia, European and African cities were among the most expensive cities for employees. Zurich is third and Luanda sixth.

Currency fluctuations are the main reason why Asia is at the top of the list – Hong Kong took the pole position in Luanda, reflecting the fall of the Angolan currency. China's economic growth and efforts to make the yuan an international currency have propelled Chinese cities to the rankings.

"Asian cities, especially Chinese cities, have performed well in terms of the cost of living ranking, mainly because of currency fluctuations. Companies are moving the best talent around the world in response to skills shortages, "said Mario Ferraro, Mercer Global Mobility Manager for Asia, the Middle East, Africa and Turkey in a statement.

Mercer uses New York as the benchmark city for all comparisons and measures currency movements against the dollar. The 2018 survey ranked 209 cities on five continents, measuring the comparative cost of more than 200 items in every location, including housing, transportation, food and clothing, according to Mercer.