Friday, 25 July, 2008 | 17:19 WIB<\/p>\n
TEMPO Interactive, Jakarta:The survey was conducted by Mercer Human Resource Consulting, an international consultant company that regularly organizes a yearly survey on the living costs in 143 major cities on six continents in the world. The survey result for the 2008 period was published yesterday.<\/p>\n
The survey was based on more than 200 items in each location, including rent, transportation, food, clothes, household needs, and entertainment. These costs often serve as guidelines for multinational companies to determine the living costs of expatriates who are assigned in these particular cities.<\/p>\n
According to the survey, Moscow is the most expensive city in the world, followed by Tokyo and London.<\/p>\n
Meanwhile, crowded and polluted Jakarta is at number 84 with an 80.5 index, defeating other major cities in Southeast Asia like Ho Chi Minh (number 100 on the list), Bangkok (105), Kuala Lumpur (106), and Manila (110).<\/p>\n
Living in Jakarta was also cited to be more costly than Chicago (84), Boston (99), Washington DC (107), Riyadh (119) and Jeddah (126) Saudi Arabia, and even Ottawa, Canada (85).<\/p>\n
\u201cThe costly living expenses in Jakarta will affect investors,\u201d said Mutiarawaty Thaher, Business Leader Mercer in Indonesia. \u201cJakarta will have to compete with other cities to attract investors,\u201d she added.<\/p>\n
According to her, the cost of living in the capital city is affected by the price increases for daily needs, education, and toll road rates. These factors affect the living cost index entirely. However, due to inflation in many cities in the world, Jakarta\u2019s rank in fact went down from last year\u2019s 55.<\/p>\n
An expatriate who works in a stock brokerage company, shared his experience about the high living costs in Jakarta, mentioning the costly apartment rent compared to other cities in Southeast Asia. \u201cOnly a certain group can afford it,\u201d said the Dutchman. \u201cTherefore there is unhealthy price competition.\u201d<\/p>\n
According to him, the valid regulation in Indonesia permits apartment ownerships by local people only, and not expatriates. This is different in Kuala Lumpur, which allow expatriates to invest in apartments. \u201dThat is why it is cheaper there\u201d, he said.
\nHERI SUSANTO | ISMI WAHID<\/p>",
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