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Tuesday, 3 July, 2001, 00:11 GMT 01:11 UK
London 'sixth dearest city in world'
Tourists at London Bridge
Tourists still have to dig deep if they visit London
London is the world's sixth most expensive city - more pricey than Geneva, Singapore or Paris, according to a survey.

Priciest cities
1 (joint) Osaka Kobe and Tokyo
2. Hong Kong
3. Libreville
4. Oslo
5. London
6. New York and Zurich
7. Singapore, Taipei and Tel Aviv
The twice-yearly report, by the Economist Intelligence Unit, will do little to encourage tourism in the UK's capital.

The survey shows London is the second most expensive location in Europe - next to Oslo. Paris is the most expensive in the eurozone.

However, it is still cheaper than Tokyo, which remains the most expensive city in the world, in joint first place with Osaka Kobe.

Cheapest cities
1. Tehran
2. Belgrade
3. New Delhi
4. Mumbai (Bombay)
5. (joint) Karachi and Tripoli
6. Manila
7. Bucharest
8. Johannesburg and Pretoria
9. Budapest

Asia features high on the list, with tourist destinations such as Hong Kong and Singapore also in the top ten.

In all, five of the world's costliest destinations are in Asia.

But for those looking for a bargain holiday, the biggest draw could be Australia, where due to a weakening Australian dollar, cities there have been among the biggest fallers on the list.

Sydney is down 18 places to number 72.

Three course dinner for four
Hong Kong - $608.98
New York - $525
London - $477
Johannesburg - $312
Sydney - $293.63

And those on a shoestring budget are advised to head to Africa, where cheapest is Johannesburg at 122.

The survey of 133 cities was based on prices of a variety of items, including cars, groceries and meals out.

In the US, New York remains the most expensive, coming in just below London at number eight.

Four best seats at cinema
London - $52.94
New York - $36
Hong Kong - $33.33
Sydney - $27.50
Johannesburg - $10.71
While the US does not represent the bargain it did a year ago, those looking to make their cash go further should look to Atlanta, where the cost of living index is 73% of New York's.

According to the report's authors, the two major reasons why a city's cost of living index changes over time are exchange rate fluctuations and price movements.

If a currency strengthens or inflation pushes the price of goods up, the relative cost of living in that country will also rise.

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See also:

02 Jul 01 | Business
American consumers spend on
28 Jun 01 | Business
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Europe gets cheaper
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