DUBAI, United Arab Emirates — The cost of living in this international city that never sleeps has dropped significantly, according to a Mercer report, citing a decline in housing rentals.
Alongside Dubai, the neighboring capital city of Abu Dhabi has likewise experienced a drop in housing prices.
Dubai’s ranking in the list of the world’s most expensive cities improved from 23rd to 42nd, while Abu Dhabi moved 17 places from 39th to 56th, Khaleej Times (KT) reported, citing Mercer.
“The major reason for increased affordability is credited to decline in rentals and house prices,” the KT report said.
It also quoted Vladimir Vrzhovski, Mercer’s Global Mobility Practice Lead, in the Middle East and Africa as saying: “For over two years, we have been witnessing deflation across Dubai and Abu Dhabi. This can be attributed to a range of factors, including a decline in the real estate sector, which has made expatriate accommodation cheaper.
“Moreover, a drive to enable remote and flexible working is driving mobility and cementing the UAE’s reputation as a destination of choice for expatriate workers.”
As such, Dubai and Abu Dhabi have, from a cost perspective, become attractive compared to some of the global hubs for digital and creative talent like London (19), San Francisco (26), Paris (34), Dublin (40), the report said.
Mercer is an American asset management firm.
(Photo by Rosaline Baylosis)
