Competitive cost of living for expatriates in Luxembourg

ECA International, a provider of solutions and information for international human resources professionals, has released a new version of the December 2013 edition of its study on the cost of living for expatriates worldwide.

This study compares price levels in 400 cities and places world-wide. The data is used by HR professionals to calculate the cost of living allowances they give to their expatriate staff. ECA International defines and compares the level of the cost of living on the basis of an average basket of consumer goods and services. These items were chosen because they represent the products and services typically purchased by consumers.

Among these products are "food", "basic" (beverages and tobacco, miscellaneous items and services) and "general" (clothing, electrical appliances, eating out). The cost of living index thus reflects daily expenses, but some costs such as housing, utilities (electricity, gas, water), car purchase and school fees are not included in this study. Fluctuations in exchange rates, inflation and availability of goods and services affect the cost of living for expatriates.

According to ECA International, for expatriates the most expensive cities in Europe are Oslo (1st in Europe, 3rd in the world), Stavanger (2nd in Europe, 5th in the world) and Zurich (3rd in Europe, 6th in the world). Luxembourg City is ranked in 23rd position in the European ranking in 2013 and 66th in the world. Other examples of cities situated close to Luxembourg are classified as follows (Europe rankings):

- More expensive than Luxembourg: Paris 12th, Brussels 16th, Antwerp 19th, Amsterdam 21st.

- Cheaper than Luxembourg: Strasbourg 25th, The Hague 26th, Frankfurt 31st, Düsseldorf 34th.

Source: ECA International