London: Tel Aviv is the most expensive city in the world to live in as increasing inflation has shot up the living costs globally, as per a survey published on Wednesday, reports NDTV.
The Israeli city jumped five places to secure the top place for the first time in the authoritative ranking compiled by the Economist Intelligence Unit (EIU).
The Worldwide Cost of Living Index is made by comparing prices in US dollars for goods and services in 173 cities.
Tel Aviv gained the top rank partly owing to the strength of the national currency, the shekel, against the dollar, along with increases in costs for transport and groceries.
Paris and Singapore shared the second spot, followed by Zurich and Hong Kong. New York was placed sixth, with Geneva in seventh.
Finishing off the top 10 were Copenhagen in eighth, Los Angeles in ninth and Osaka, Japan, in 10th.
Last year, the survey saw Paris, Zurich and Hong Kong sharing the first spot.
This year's data was collected in August and September as prices for freight and goods increased and showcased that on average prices rose 3.5 percent in local currency terms -- the fastest inflation rate seen over the past five years.
Social restrictions due to the COVID-19 pandemic "have disrupted the supply of goods, leading to shortages and higher prices," said Upasana Dutt, head of worldwide cost of living at The EIU.
"We can clearly see the impact in this year's index, with the rise in petrol prices particularly stark," she said, while central banks are likely to increase interest rates cautiously, reducing inflation.
The average inflation numbers excludes four cities with extremely high rates: Caracas, Damascus, Buenos Aires and Tehran.
The Iranian capital jumped from 79th to 29th spot in the ranking as US sanctions have shot up prices and caused shortages.
Damascus was ranked the cheapest city to live in the world.
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