Shanghai is one of the world's most expensive cities. (Shutterstock)
It was already revealed earlier this year that Shanghai residents are splurging on luxury much more than New Yorkers, but a new report finds that Shanghai is also a costlier place to do everyday things like travel and eat.
That was the conclusion of this year’s Economist Intelligence Unit report on the global cost of living, which compares cities around the world to see which one is causing its residents to shell out the most money to basically exist.
While no Chinese cities made the list of the world’s top 10 most expensive, Hong Kong and Shanghai both clocked in ahead of New York this year. Hong Kong has typically ranked high and came in at 13 this year, but Shanghai shot ahead nine spots to its rank of 21, topping New York's 26.
Meanwhile, several other Chinese cities made the list as well, including Shenzhen (32), Dalian (42), and Beijing (47). Notably, one major factor not taken into account is real estate, which has shot up in cost in many Chinese cities thanks to speculative buying. The main point of the report is to serve as reference for global companies sending their executives to work abroad in order to adjust pay levels. As a result, items like a typical bottle of wine at dinner are factored into the equation.
The bottom line of this report? Companies transferring their employees to China may need to start considering a higher raise.