The 6 Most Expensive Latin American Countries To Live In
Are you considering moving to live in Latin America? Before you must bear in mind that, although it is considered the cheapest region of America, the truth is that there are also countries where the cost of living is extremely high. We tell you which are the most expensive Latin American countries to reside.
Despite its particular problems, the American continent is in full growth and expansion. For this reason, many people consider this option as an alternative for their future.
Many countries with emerging development have inevitably increased the price of housing or leisure. In others, it is economic and political crises that have caused the cost of living to rise.
The World Bank Consumer Price Index (CPI) is one of the indicators that allows us to assess which are the most expensive Latin American countries to live in; of course, it also applies in the rest of the world.
This index calculates the purchasing power parity of the different currencies; thus, it compares the size and price level of different economies under the same parameter.
The most expensive Latin American countries in terms of cost of living
1. Venezuela
The country registers a CPI of 103.49%, the highest in all of Latin America. A fact that comes to mean that the cost of living in Venezuela is very high if we compare it with the rest of the countries in the region.
Despite this, its capital, Caracas, cannot be included in the rankings of the most expensive cities. This is due to complications in calculating the cost of living, derived from the complex and changing situation in the country.
Venezuela is suffering a kind of hyperinflation, with an increase in the prices of goods and services that in 2014 reached 64%. The country thus has the highest inflation in Latin America; and it is also among the highest in the world.
2. Brazil
With a CPI that reaches 83.71%, Brazil ranks second among the most expensive Latin American countries to live in. This is a country that is experiencing a rebound in inflation; it was 8% in the last year.
In fact, two of its most representative cities, Sao Paulo and Rio de Janeiro, are among the 20 most expensive cities in the world.
3. Uruguay
Uruguay ranks third in the list of countries with the highest cost of living. Its CPI is close to 83% and taxes are also very high; here the VAT reaches 23%.
Living in Uruguay is therefore quite expensive. The price of housing, for example, is high relative to wages; so are other aspects such as transportation and some basic services.
4. Costa Rica
Some have come to describe Costa Rica as the “Central American Switzerland. ” A country, at first glance, perfect to live in. It has a much more stable democracy than that of other countries in the area, it is safer, it has authentic natural paradises and a significant level of tourism.
However, if you look at the costs of living, it may not seem so perfect. With a CPI above 68%, it ranks fourth on the list of the most expensive Latin American countries to live in.
5. Chile
For many experts, it is one of the best economies in Latin America. However, in Chile the CPI exceeds 67% and has a VAT of 19%. In this country, housing, education, transport and food have higher costs than in other neighboring countries.
Of its cities, Santiago de Chile is ranked 70 in the ranking of the most expensive cities in the world to live in.
6. Argentina
It is a country with increasingly high inflation, touching 40%. Its capital, Buenos Aires, according to Mercer’s ranking, went from position 159 to 121 and was one of the cities in Latin America where the cost of living became more expensive due to inflation, which especially affects property and accommodation.
In conclusion, these data deserve to be taken into account if you plan to move your residence to some of these Latin American countries. Its beauty and culture is not in dispute in any case, but the economic edge can represent an obstacle if we are not prepared.
