Bermuda, Cayman Islands and Switzerland have the highest cost of living

The Cost of Living Index, compiled by the online platform Numbeo, shows that Bermuda, the Cayman Islands (both autonomous territories of the United Kingdom) and Switzerland are the most expensive countries in the world, according to visualcapitalist.com.

The index compiled by Numbeo measures the price of daily expenses, namely goods, services, including rent, in relation to New York City (reference value 100). If, for example, a country has an index score of 80, prices are 20% lower than in New York. Scores above 100 indicate daily costs higher than in New York.

According to the cited source, although inflation has decreased in many regions, the cost of living remains a major global challenge. In 28 countries, house prices have risen by more than 50% since 2020, and food costs have risen significantly in countries such as Mexico, Germany and Malaysia, continuing to put pressure on household budgets.

• Bermuda - luxury real estate and tourism

Bermuda, with an index of 123.5, has the highest cost of living in the world, with the archipelago synonymous with luxury real estate, luxury tourism and offshore wealth. Many of the most expensive places in the world in terms of cost of living are islands and are often tax havens or financial centers. The US Virgin Islands, Jersey and the Cayman Islands all rank in the top 10 in terms of cost of living. High concentrations of wealth, combined with heavy reliance on imports, are pushing up prices in these island economies.

The Cayman Islands, which ranks second in the ranking, has an index of 97.9. The territory's economy is fueled by offshore finance, tourism and real estate - all industries that attract wealthy residents and investors.

Switzerland, the most expensive country in Europe, comes in third with an index of 84.3. Zurich is the most expensive city in the world in 2026. Beyond a strong franc, high wages and high living standards significantly increase costs in this Swiss city.

In fourth place is the US Virgin Islands (82.5), and in fifth is Singapore (81.2), which has the highest cost of living in Asia. Limited land availability has fueled high property prices in Singapore, while its reliance on imports - about 90% of its food - adds further pressure on costs.

Places 6 to 10 are as follows: Bahamas (77.1), Iceland (75.9), Jersey (72.5), Hong Kong (69.8), Solomon Islands (65.4).

The US ranks 19th globally, with a cost of living index of 56.3. For comparison, the global average score for the index is 30.8 in 2026. Before the US, places 11-18 are occupied by: Guernsey (65.3), Luxembourg (65.2%), Gibraltar (63.9), Norway (59.4), Ireland (58.7), Israel (58), Netherlands (57.9), Denmark (56.6). After the US, in 20th place, we find the Isle of Man, with an index of 55.7.

At the other end of the ranking, Pakistan (12.4), India (12.4) and Libya (12.3) have the lowest cost of living scores in the world.

It is worth noting that in 2025, according to mid-year data, the Cost of Living Index showed that the Cayman Islands, Switzerland and Singapore were the most expensive countries in the world, a situation reflected in their developed economies, high salaries and premium real estate markets. Last year, the lowest cost of living scores belonged to Pakistan (11.3), Libya (11.3) and Afghanistan (11.6).