- VIVAnews / Renne Kawilarang
VIVAnews – Living in a developed country is indeed guaranteed in terms of facilities for the residents. However, all those facilities also demand higher living cost compared to living in other countries.
A survey carried out by human resources consultant ECA International recently produced a list of the world’s most expensive cities. This survey was a study into 400 cities in the world.
The method of the survey is using living cost indicators namely food, such as milk, meat and fish, fresh fruits and vegetables. Another factor is basic needs such as beverages and cigarettes, services and general needs such as clothes, electronic equipments, travelling and eating out.
However, ECA International did not take into account living cost for accommodation, household needs (electricity, gas and clean water), car purchase and education fee. These costs can in fact change the rating, but usually companies already make these facilities available for expatriates.
Out of the survey results, ECA International placed three cities in Indonesia as cities with the most expensive living cost in the world. These cities are Jakarta, Surabaya and Balikpapan.
On the world’s level, these three major cities are in fact in the rank of hundreds. Jakarta is at the 102nd position, Surabaya 173rd and Balikpapan 187th.
On a smaller level, in Asia, those three major cities are in top40 of the most expensive living cost in Asia. Metropolitan city Jakarta is at the 15th position, up one level from previous year of 6th. Surabaya and Balikpapan are in the 31st and 34th position respectively, from previously 31st and 33rd.
As a comparison, referring to Central Statistic Bureau (BPS) data, in 2010 Jakarta recorded an inflation rate up to 6.21 percent. Meanwhile, for the first five months in 2010 Jakarta’s inflation rate was 1.49 percent.
In the case of Surabaya, BPS recorded the 2010 inflation was 7.83 percent. It is higher compared to that of Jakarta. Meanwhile for the period of January to May 2011 Surabaya’s inflation reached 1.1 percent.
Pontianak city booked an inflation of 7.38 percent and this year reached 3.11 percent.
Inflation in Indonesia is calculated by seeing the percentage of a change of price index, including consumer’s price index (IHK) which shows the average price of certain goods bought by consumers, and living cost index.
Other factors are the producer’s price index, which measures the average price of goods that producers need for the production process, the commodity price index which measure the price of certain commodities and capital goods price index.
Translated by Indah Lestari
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