Archive for category Expatriate Prospects
Cost of Living – Alcohol & Tobacco – July 2011
Posted by Xpatulator in 2011 international cost of living, Alcohol, cost of living, cost of living allowance, cost of living calculator, cost of living comparison, cost of living index, cost of living ranking, cost of living rankings, Expatriate Prospects, Expatriate Relocation, Expatriate Salary, expats, Tobacco on July 6, 2011
Cost of living rank of Alcohol & Tobacco cost of living indexes as at July 2011 for 300 global locations. The indexes are calculated using the prices for specific quantities of the same goods and services in each location, based on expatriate spending patterns across 13 broad categories (Basket Groups). The calculators make use of the cost of living indexes, based on your input and Xpatulator’s data, to create reports online which you can save, e-mail or convert to a pdf file.
Alcohol & Tobacco costs include alcoholic beverages such as alcohol at bar, beer, locally produced spirit, whiskey, and wine as well as tobacco products such as cigarettes.
Xpatulator.com is the most comprehensive source of international cost of living index information.
The July 2011 alcohol & tobacco international cost of living rank here
Which expat are you?
The one great advantage when you exercise is not only getting fit and in shape, but also that it gives your mind time to think. My thoughts during my last session was on the different types of Expats that you get. I am not referring to nationalities or cultures but more to the country that you find yourself being an expat in which can determine the type of expat you will be.
I determined that there are 3 types of expat country experiences:
1. When as an expat you move to a country that is similar to your own, but you are still culturally different, e.g. an American moving to Britain. Fundamentally, you speak the same language, you eat similar foods, you have similar cultural habits and have watched movies or listened to music that is, can I say it again, similar.
However, even with these similarities there are differences too, they are minute but they are there. Whether it is a word that is different but has the same meaning, e.g. Barbeque to the South African Braai, or the way you address someone from a courteous “Hello, how do you do?” to “Hiya doin?” There are differences and you can feel and do experience these within the country. Your accent is also a dead giveaway and sometimes as an expat you are shunned purely due to this basic difference.
2. The country in between two extremes, this would be the expat that moves from e.g. Australia (English being the common language) to the Middle East. Your official business language is English and most people would be able to speak and understand English, but you cannot do the same for their official language. There is a commonality that exists as well, this host country has been exposed to Western culture through trade and industry, politics and commerce. Sometimes these expats are more readily accepted as a foreign guest in their country. You are respectful of your host countries culture and traditions and are willing to emerge yourself into becoming part of the culture.
3. Moving to a country that is the polar opposite to what you are used to, your nationality is completely and utterly different e.g. Argentinian moving to China. The official language is one that most people will battle to learn, so when you are standing in a queue you haven’t got a clue what is being said around you. Your culture, traditions and habits are as vast as the Sahara Desert. You really have to acquire new skills and make major adaptations to survive. As much as this type of expat experience can be rather a challeneg, it can have surprising advantages. If you cannot understand the local language, it incentivises you to learn and forces you to be more adventurous and social in trying to fit in and develop a commonality with the local population. Expats also tend to support each other more as everyone can feel the vast divide between locals and expats. It allows groups of expats to formalize clubs that bind common interests and creates a social infrastructure of support.
There is another type of expat that we should include under number 3, this would be a person moving from e.g. China to America. Commonly when a Westerner moves to a host country as an expat there are systems set up to support these people, e.g. compounds in which to live, social groups to belong to, etc. However, this is not necessarily the case for non-Western expats when moving from their countries to e.g. America or the UK. These expats are not living in compounds or introduced to groups that are similar to themselves. They are often left to their own devices and need to find their own survival mechanisms. This type of expat experience could actually be the most difficult of all.
Which expat are you and are there more?
Denise is an Expat, Mom, Wife and Marketing Manager at http://www.xpatulator.com/ a website that provides cost of living index information and calculates what you need to earn in a different location to compensate for cost of living, hardship, and exchange rate differences. The complete cost of living rank for all 300 locations for all 13 baskets is available here.
What I wish I had known about becoming an expat
Posted by Xpatulator in becoming an expat, expatriate, expatriate engagement, Expatriate Hardship, Expatriate Package, Expatriate Pay, Expatriate Prospects, Expatriate Relocation, Expatriate Salary, expats on June 25, 2011
After blogging about the questions you should ask before and while you are becoming an expat, here are a few tips on the things you should know about becoming an expat. You are going to get hundreds of different opinions on moving, sometimes it will feel like when you were pregnant and every other person in existence, even those ones that have never gone through the experience before, are willing to dispense great tips to you. Take it all with a pinch of salt and select the advice that will best assist you in your decisions.
These are a few realities that I have picked up along my journey :
1. Will your marriage survive.
Let me clarify this statement, our marriage has been tested on many an occasion over the last 20 years.
Having our first child was probably the greatest test for us, going from being independent and care free for over 10 years together to having someone completely and utterly dependent on you was a shock. I never wanted to be a parent, then one day I woke up and decided that being a parent was all I wanted to be. I did not realize how much it would affect my husband (or not affect him) he continued through life, work and sport as though I was soley responsible for the little bundle of joy. Which I gladly did until I went back to work, then it had to become a joint partnership of feeding, diapering, cleaning and loving. We were tested for sure in those first few months and came out of it all with shining colors.
Then came the second bundle of joy, this time baby number 2 was born with physical problems, we went through 2 horrific years of hospitals, doctors, specialists, operations and more of the same. Our marriage survived all the late nights, the trauma, the emotional turmoil, soul destroying and moments of elation.
Becoming an expat is probably up there amongst those experiences, I remember standing in our kitchen after being in our new country for 4 weeks, hands on hips and shouting at my husband that this was not what I had signed up to do. Tears streaming down my face with the realization that I had left everything and everybody that I loved thousands of miles away. How could I possibly have even considered doing such an insane move.
I have in the interim heard of so many marriages that have not survived this type of a move. Wives that have not settled, continuously going home and leaving their husbands behind. Husbands left behind, who are lonely and found other acquaintances to keep them company, culminating in affairs and divorces. Children who have to live through unhappy marriages and fights.
Be sure that YOUR marriage can survive. Our marriage has, it is stronger than ever before and our children are happy, but we have had to work at it. We continuously share our highlights and disappointments with one another, we are open and honest in our communication and most of all we support each other especially when one of us is down and needs to be perked up.
2. What circumstances are you moving from and to
What are your circumstances at the moment, are you working 12 hours a day with 3 weeks of holiday a year, traveling 2 hours to and from work? Are you living in a large home with a maid and gardener, with 6 weeks of holiday a year, 2 cars and very few worries? Are you moving because you are being transferred, relocated, promoted or because you are looking for a better job from the one you are in. Perhaps you are leaving due to country circumstances, political or economic.
Consider all these factors and then look at your new set of circumstances and compare the two. Make sure that you are going to be as comfortable as you were in your old circumstances.
We moved from a big 6 bedroomed home, with a maid who lived in her own cottage, a gardener and all the other luxuries you can imagine. Every school holiday was spent on the road exploring new places (within our own country), my husband worked from home and could spend time with us, he could also go to school functions during the day, making the children’s lives as important as our own.
As expat’s we live in a much smaller villa than our old home, acquiring a maid took patience, time and it was a costly experience.
Our expat experience was fueled by the need to leave a country with a volatile political situation, where murdering someone is a common day occurrence and thought very little of. We had decided to persevere more for our children’s future than for our own.
We are happy with our decision and quite frankly a smaller home is a lot easier to maintain and makes me more vigilant in keeping the house tidy and eliminating unnecessary junk. Recapping on the reason you have made your move can also help you during those times when you want to pack it all in and just go home.
3. Education
This was a tough one. You really need to find that school that suites your child, if you move to a remote town in the middle of Africa you may not have a choice, but if you have choices take your time and find the right school.
Our children were in private schooling back at home, the sport fields were immense, lush and green with views of the city, the classrooms were kitted out with the best of everything and the children were educated for University exemption. Before we left we started the process of applying to schools, we had 6 weeks to pack and sell our belongings and move. Our applications started in the June, a month before summer holidays were to begin. Schools were filled to the hilt and there were no available spaces for our children to be slotted into at any of the schools we had applied to. We took 10th best, and this was to ours and our children’s detriment. The children lost out on a full years worth of education, as the school was not of a very high standard and it took us that long to find a better school for them to move to. The schools in comparison to our schools at home are 2nd rate, very few have decent sporting, computer, music or science facilities. Extra sport needs to be taken outside of the normal school curriculum, I was and am still not happy with the standard that they are receiving. It was not the ideal situation and in retrospect we should have taken our time with the move. Keeping the children in the school that they were in back at home and having the non working partner remaining behind to look after them.
Boarding school in these circumstances could well be a better solution when the schooling is not of a high standard.
4. Logistics
Where you live in the new country is of the utmost importance. After selecting the school, check on the distance your partner’s work is from here, then find your accommodation. It does not help if either of you are spending most of your day traveling, it is exhausting and results in a grumpy family. Children also take strain when they are either in a bus or car for hours on end, just getting to and from school. Then they still have to do homework and after school activities.
Initially we moved into a villa that was on the outskirts of the city. The school run was a 2 hour round trip, which meant 4 hours on the road for me, excluding after school activities which took place at other facilities which meant more travel time. Now, include housework, homework and cooking into the equation and by the end of each day I was exhausted and had no energy to spend fun time with the family.
Route your daily travels and find a location that will suite all family members, and remember to keep a shopping center close at hand for those last minute shops you may need to do.
Relocation companies in your new location are experienced in helping you with the logistics of your move.
5. Finding friends
It is always tough to find new friends, unless you are the extravert type that can walk into a room and know everyone by the end of the evening. Often you are faced with people from different cultures, languages and backgrounds to your own. A good start is to find an expat group that is from your own country or in a similar situation to yourself, e.g. Being a New mom, there are always Mommy expat groups to join. Then you could look at joining gyms, sport clubs or groups that have similar interests to yourself such as quilting, art, scrap booking, etc.
Find the groups that are going to interest you and your friendships will blossom, you need friends to help you through this new situation, to welcome you into a safe environment, to teach you the ropes. Friends that can direct you to the hardware store or the best doctor in the area.
I hope my tips have helped you just a little bit, I know I would have liked to have someone guide and support me on this first expat experience.
Denise is an Expat, Mom, Wife and Marketing Manager at http://www.xpatulator.com/ a website that provides cost of living index information and calculates what you need to earn in a different location to compensate for cost of living, hardship, and exchange rate differences. The complete cost of living rank for all 300 locations for all 13 baskets is available here.
The Seasoned Expat
Posted by Xpatulator in 2011, 2011 international cost of living, cost of living, cost of living allowance, cost of living calculator, cost of living index, cost of living ranking, cost of living rankings, expat, Expat attitudes, expat children, expat kids, Expat Kids Expat chilren, Expat schooling, expatriate, expatriate engagement, Expatriate Hardship, Expatriate Package, Expatriate Pay, Expatriate Prospects, Expatriate Relocation, Expatriate Salary on June 20, 2011
2. Can the animals come with, what are the laws regarding this?
2. Finding a relocation / removal company
3. Finding an animal relocation company, if you are taking the animals with
4. Buying airline tickets
5. Settling any debts that may arise while you are away
6. Setting up a way to pay for any debts that may arise
7. Saying goodbye to family and friends
8. Selecting a family member or friend to deal with any business / banking issues that may arise
Before you go on an international assignment
Posted by Xpatulator in expatriate, expatriate engagement, Expatriate Hardship, Expatriate Package, Expatriate Pay, Expatriate Prospects, Expatriate Relocation, expats on May 9, 2011
The opportunity to get international experience can accelerate your career, but you should do your homework thoroughly before committing. With the shift in economic strength shifting eastward, the number of people taking international assignments is growing.
From a career perspective, the right kind of international experience is an advantage for top level executive positions. However the wrong kind of international experience can hinder your career. Are you going to be exposed to the latest technology/best practices? Is the organization held in high regard? Will the assignment look good on your CV a few years from now? Can you use this opportunity to make your mark?
An international assignment can put you in the spotlight or hide you away so that you are overlooked for future career moves. An assignment that was planned to last a year or two, could become long term, especially if you have school going children.
A successful international assignment requires several key skills.
Negotiating an Expatriate Package
Posted by Xpatulator in cost of living, cost of living allowance, cost of living calculator, cost of living comparison, expatriate, expatriate engagement, Expatriate Package, Expatriate Pay, Expatriate Prospects, global, international, International Cost of Living; International Cost of Living Index, Negotiating, world, world cost of living 2010 on June 16, 2010
Although international experience can be helpful for future promotional prospects, companies recognize that employees are cautious about going abroad for “possible future consideration”. Consequently companies usually offer employees financial and non-financial incentives to compensate for the upheaval associated with relocation abroad.
Expatriate assignments can be associated with emotional and physical hardship for the employee and their family. Companies compensate by paying expatriates proportional to the degree of hardship as well as cost of living differentials.
Often expectations for a generous expatriate package run very high, based largely on rumors and urban legend. Individuals may know of expatriates who lived the high life, tax free, and retired early after buying a large house in an exotic location. The reality is a little different for most of us.
Managing these potentially unrealistic expectations is the responsibility of Human Resources and Compensation & Benefits professionals. The challenge is to balance the needs and expectations of employees, with the financial needs of the organization. Satisfying the needs of both the employee and the organization requires designing expatriate assignments to benefit both the organization and the employee.
The amount of salary negotiated should take into consideration a number of factors such as:
• Cost of living difference compared to the assignment location
• Degree of hardship likely to be experienced
• Increased responsibilities such as having less corporate support in remote locations
Negotiating each of the above as separate amounts can simplify an expatriate package negotiation such as:
• Consistency when an organization sends people to different countries with widely different costs of living
• Helps prevent expatriates from feeling demoted upon their return to the home country because their salary was decreased significantly. It is easier to remove the adjustment made for the change in cost of living and hardship if it is separate from the salary.
Cost of living and hardship adjustments should be based on expatriate life style rather than the life style of local people. Expatriates living in some developing countries may find that local food, basic accommodation, and basic healthcare is relatively inexpensive, while maintaining their old lifestyle with imported food, “expatriate” accommodation, private healthcare, and entertainment/recreation is very expensive. The cost of living for local people is not always the same as it is for an expatriate.
The benefits offered to expatriates are most often better than the benefits offered to local employees, with exception perhaps of places such as the Middle East. Many organizations offer benefits such as tax consultation, relocation, accommodation, transport, visa, immigration, and language training.
Additional benefits that may be negotiated include:
• Cross-cultural training to help manage expatriate expectations by learning more about their future colleagues and local culture.
• A pre-assignment visit can help adjust an expatriates expectations versus the experience of other expatriates in that destination.
• Family benefits: Family adjustment and lifestyle issues are one of the causes of an expatriate not completing their assignment:
o Education for the expatriate’s children is often a deal-breaker for the family to accept an assignment.
o Helping the spouse obtain work.
• Career coaching / mentoring for the expatriate during their assignment, particularly during the first and last six months, and after they return to the home office helps ensure retention and helps manage their expectations for subsequent assignments.
• Repatriation training: Expatriate families and employees can benefit from repatriation training to help readjust to living in the home country and returning to the original work environment. This is often overlooked, while all the focus is on assisting the expatriate adjust to the host country.
A flexible approach to negotiating an expatriate package that is a win-win for both the employee and the organization is required. One size does not fit all!. A young, single accountant has very different expectations and needs compared with an older engineer with a family.
Calculating an appropriate salary package taking into account the existing salary, cost of living and hardship differences, as well as accounting for increased responsibilities may help ensure that the most important needs of prospective expatriates are addressed.
This article may be freely copied as long as reference is made to http://www.xpatulator.com/
October 2009 International Cost of Living Ranking
Posted by Xpatulator in COLA, compensation, cost of living, cost of living allowance, cost of living comparison, cost of living rankings, Expatriate Pay, Expatriate Prospects, Expatriate Relocation, Expatriate Salary, International cost of living comparison, International Cost of Living Rank; International Cost of Living Index, relocating, SPPP on October 23, 2009
The October 2009 International Cost of Living Ranking, one of the most comprehensive in the world, covers 276 cities in 209 countries across 13 basket groups. Below we have listed the Top 10 most expensive countries to live in, the biggest movers up and down in country ranking and the 5 most expensive countries per basket item.
There is no change to the first and last places. Japan remains the most expensive place for an expatriate to live with the highest overall cost of living index and Zimbabwe with the lowest cost of living index.
The Top 10 most expensive ranked international cost of living locations as at October 2009, together with the previous year’s rank as at October 2008, is as follows:
October 2009 Rank Country, City (October 2008 Rank)[Change in Rank]
1. Japan, Tokyo (1) [0]
2. China, Hong Kong (33) [-31]
3. Switzerland, Geneva (4) [-1]
4. Central African Republic, Bangui (46) [-42]
5. Switzerland, Zurich (8) [-3]
6. Denmark, Copenhagen (3) [3]
7. Venezuela, Caracas (32) [-25]
8. United Arab Emirates, Dubai (34) [-26]
9. Chad, N’Djamena (15) [-6]
10. Norway, Oslo (2) [8]
Biggest Movers Up
The biggest movers up in the rankings as a result of an increase in relative cost of living are:
1. Solomon Islands, Honiara by 152 places
2. Canada, Calgary by 134 places
3. Kiribati, South Tarawa by 109 places
4. Timor-Leste, Dili by 106 places
5. Montenegro, Podgorica by 93 places
6. Vanuatu, Port Vila by 91 places
7. Saudi Arabia, Riyadh by 83 places
8. Rwanda, Kigali by 83 places
9. Cape Verde, Praia by 75 places
10. Congo Democratic Rep, Kinshasa by 61 places
Biggest Movers Down
The biggest movers down in the rankings as a result of a decrease in relative cost of living are:
1. Tonga, Nuku’Alofa by 172 places
2. Poland, Warsaw by 158 places
3. Vietnam, Hanoi by 126 places
4. Fiji, Suva by 99 places
5. Paraguay, Asuncion by 91 places
6. Hungary, Budapest by 85 places
7. Equatorial Guinea, Malabo by 82 places
8. Albania, Tirana by 77 places
9. Kenya, Nairobi by 73 places
10. Gambia, Banjul by 66 places
Top 5 most expensive international locations for each basket group
Our 13 basket groups are the result of extensive research of actual spending habits, this allows our cost of living indices to reflect a reality-based international expenditure pattern. When comparing the cost of living between 2 locations, the difference in the aggregate cost of all the items in each of the 13 basket groups are examined in each location, this is done by using the average reported price in each location for the same quantity of each item. Cost of living is the relative differential of the local cost of the basket groups and the ruling exchange rate between the 2 selected locations. The 13 basket groups are weighted according to Expatriate expenditure norms.
Alcohol & Tobacco costs for alcoholic beverages such as alcohol at bar, beer, locally produced spirit, whiskey, and wine as well as tobacco products such as cigarettes is most expensive in:
1. Kiribati, South Tarawa
2. Qatar, Doha
3. Korea Republic of, Seoul
4. Comores, Moroni
5. Norway, Oslo
Clothing costs for clothing and footwear products such as business suits, casual clothing, children’s clothing and footwear, coats and hats, evening wear, shoe repairs, and underwear is most expensive in:
1. Croatia, Zagreb
2. Russia, Moscow
3. China, Beijing
4. United Arab Emirates, Dubai
5. Qatar, Doha
Communications costs for various communication costs such as home telephone rental and call charges, internet connection and service provider fees, mobile / cellular phone contract and calls is most expensive in:
1. Guinea-Bissau, Bissau
2. New Caledonia, Noumea
3. Burkina Faso, Ouagadougou
4. Latvia, Riga
5. Cameroon, Douala
Education costs such as creche / pre-school fees, high school / college fees, primary school fees, and tertiary study fees is most expensive in:
1. Venezuela, Caracas
2. Angola, Luanda
3. Brazil, Brasilia
4. Bermuda, Hamilton
5. Central African Republic, Bangui
Furniture & Appliance costs for furniture, household equipment and household appliances such as dvd player, fridge freezer, iron, kettle, toaster, microwave, light bulbs, television, vacuum cleaner, and washing machine is most expensive in:
1. Central African Republic, Bangui
2. Mali, Bamako
3. Cameroon, Douala
4. New Caledonia, Noumea
5. Chad, N’Djamena
Grocery costs for food, non-alcoholic beverages and cleaning material items such as baby consumables, baked goods, baking, canned foods, cheese, cleaning products, dairy, fresh fruits, fresh vegetables, fruit juices, meat, oil & vinegars, pet food, pre-prepared meals, sauces, seafood, snacks, soft drinks, spices & herbs is most expensive in:
1. Central African Republic, Bangui
2. Japan, Tokyo
3. Denmark, Copenhagen
4. Solomon Islands, Honiara
5. Congo, Brazzaville
Healthcare costs for general healthcare, medical and medical insurance such as general practitioner consultation rates, hospital private ward daily rate, non-prescription medicine, and private medical insurance / medical aid contributions is most expensive in:
1. Japan, Tokyo
2. China, Hong Kong
3. Kiribati, South Tarawa
4. Angola, Luanda
5. Bermuda, Hamilton
Household costs for housing, water, electricity, household gas, household fuels, local rates and residential taxes such as house / flat mortgage, house / flat rental, household electricity consumption, household gas / fuel consumption, household water consumption, and local property rates / taxes / levies is most expensive in:
1. China, Hong Kong
2. Japan, Tokyo
3. Taiwan, Taipei
4. Venezuela, Caracas
5. United Arab Emirates, Dubai
Miscellaneous costs related to stationary, linen and general goods and services such as domestic help, dry cleaning, linen, office supplies, newspapers and magazines, and postage stamps is most expensive in:
1. Central African Republic, Bangui
2. Norway, Oslo
3. Finland, Helsinki
4. New Caledonia, Noumea
5. Qatar, Doha
Personal Care costs for personal care products and services such as cosmetics, hair care, moisturizer / sun block, nappies, pain relief tablets, toilet paper, toothpaste, and soap / shampoo / conditioner is most expensive in:
1. Kiribati, South Tarawa
2. Gambia, Banjul
3. Algeria, Algiers
4. Comores, Moroni
5. Slovakia, Bratislava
Recreation and Culture costs such as books, camera film, cinema ticket, DVD and CDs, sports goods, and theatre tickets is most expensive in:
1. Central African Republic, Bangui
2. Papua New Guinea, Port Moresby
3. Mozambique, Maputo
4. Chad, N’Djamena
5. Vanuatu, Port Vila
Restaurants, Meals Out and Hotel costs such as business dinner, dinner at a restaurant (non fast food), hotel rates, take away drinks and snacks (fast food) is most expensive in:
1. United Arab Emirates, Dubai
2. Greece, Athens
3. Qatar, Doha
4. Belgium, Brussels
5. Slovenia, Ljubljana
Transport costs for public transport, vehicle costs, vehicle fuel, vehicle insurance and vehicle maintenance such as hire purchase / lease of vehicle, petrol / diesel, public transport service maintenance, tires, vehicle Insurance, and vehicle purchase is most expensive in:
1. Timor-Leste, Dili
2. Georgia Republic of, Tbilisi
3. Cameroon, Douala
4. Solomon Islands, Honiara
5. Norway, Oslo
The definitions of each basket and the full cost of living rankings for all 276 locations are available at Xpatulator Articles
Your Attitude counts for everything as an Expat
Posted by Xpatulator in Expat attitudes, expat kids, Expatriate Hardship, Expatriate Prospects, Expatriate Relocation, Expatriate Salary on May 19, 2009
Your attitude as the adult and parent is going to greatly influence how your children settle in the country and accept the move.
We can decide whether to be positive or negative about becoming expats. The more positive parent results in a well adjusted child who looks at the glass half, finds the positive in every situation and tries to adjust as much as you do.
The positives, in themselves, of living in a new and different environment so outweigh the negatives. We can start with that fantastical dream of living abroad (the “Out of Africa” experience or exotic India thoughts), this is an adventure for you and them and it needs to be embraced as such.
Perhaps it is the benefit of a better environment, climate, economic situation, better job opportunities and prospects, a better political situation, safer country iow less violence, the reason you have left your country of origin is your positive and this positive must be lived every day by the family.
What you and your family are achieving can be what your peers back home can only dream of ever achieving one day. Your attitude back then, when you were deciding to take this adventure, was one of hope and opportunity, of adventure and new beginnings and this is how this dream needs to be lived.
Trudie says : We saw this move as a wonderful opportunity to expose our children to the world and maybe broaden their horizons.
I was 36 weeks pregnant when we arrived and I was stressed beyond mention. Adjusting to this part of the world was the hardest for me. I gave up a whole support system at home to have a baby in a strange country and had to cope on my own- with just Craig by my side. For Matthew (8) coming to this part of the world is associated with so many wonderful things-he got to be with dad again (as Dad was always away when we lived at home). He finally got a sibling that we had been praying so hard for. And he got to go to a new school, make new friends and take up a combat sport-For Matthew life was grand.
Shirley says: I hated where we moved to with a passion. It was cold, wet, windy, the people were not as friendly as I thought they would be and it was a really hard and lonely time for at least a year. My first six months I told my husband that I could not handle this place and wanted to go home, but the thought of the crime back home and the safety of my children was more important for me and that was an absolute put off. I really wanted my children to be able to come and go as they wanted and not always worry about whether they would be safe, or if I had to drive them somewhere, would I get hi-jacked. It took me long time to stop hugging my handbag to my chest, to stop looking over my shoulder to see if I was been followed or whether someone was going to snatch my bag, to stop locking all my car doors and putting my handbag under my seat. That became a plus in my book and I had to really work hard to change my attitude and that is what I did.
I still miss my family and my friends, but I have made new friends here and it helps a lot. I don’t worry about locking my car door anymore or worrying about whether my bag is going to be snatched etc, it makes life more simple and therefore I just carry on with life and hope and pray for the best. My children are happy and that is what counts.
Each of these parents has had a positive attitude towards their circumstances, even if it did not start off as positive eventually expat parents realize that only their positive experiences can result in their children having a positive attitude too.
Qatar Expatriate Prospects
Posted by Xpatulator in Expatriate Prospects on January 8, 2009
Thinking about looking for an overseas job? Our analysis shows that from a pay, cost of living, exchange rate, quality of life (hardship) and long term economic stability perspective, Qatar is one of the best places in the world for expatriates to live. Surprised? Well consider why we say this.
While the rest of the world battles the ongoing impact of the global credit crisis, slowing economies, falling house prices, falling stock markets, exchange rate instability, a stronger US dollar and a drop in the oil price, Qatar stands out as being well positioned to ride out the global storm better than most.
The State of Qatar’s population has just recently exceeded 1.5 million people (of which more than 1 million people are expats) after several years of incredible economic growth which fuelled the demand for skills and labor. Qatar is still relatively small compared to the UAE’s population of 4.7 million. The precise total population within the State of Qatar, according to the Qatar Statistics Authority, as of 31st. Oct.2008 is 1,541,130 persons, made up of 1,185,575 (77%) Males and just 355,555 (23%) Females, which is indicative of the large number of unaccompanied male expatriate workers in Qatar. Foreigners account for some 78 per cent of the population (compared to the UAE’s 84%); most of the foreign workers in Qatar are from India, Pakistan, Bangladesh, the Philippines and Arab countries.
Qatar is oil rich, but what differentiates Qatar from other petroleum producing countries is that the world’s largest gas field by far is Qatar’s offshore North Field, estimated to have 25 trillion cubic meters of gas in place—enough to last more than 200 years at optimum production levels.
Due to the distance from it’s markets, pipelines were not a practical option for Qatar. Over several decades the development of liquefied natural gas processes meant remote gas fields became more and more viable. Liquefied natural gas or LNG is natural gas (primarily methane, CH4) that has been converted to liquid form for ease of storage or transport. Liquefied natural gas takes up about 1/600th the volume of natural gas at a stove burner tip. It is odorless, colorless, non-toxic and non-corrosive.
The costs of LNG treatment and transportation were so huge in the past that development was slow until recent times. LNG is principally used for transporting natural gas to markets, where it is regasified and distributed as pipeline natural gas. LNG offers an energy density comparable to petrol and diesel fuels and produces less pollution, but its relatively high cost of production and the need to store it in expensive cryogenic tanks have prevented its widespread use in commercial applications.
In the early 2000s, as more players took part in investment, both in downstream and upstream, and new technologies are adopted, the prices for construction of LNG plants, receiving terminals and vessels fell, making LNG a more competitive means of energy distribution, but increasing mateRiyal costs, lack of skilled labor, shortage of professional engineers, designers, managers and other white-collar professionals and demand for construction contractors have driven up prices in the last few years.
The commercial development of LNG is based on downstream buyers signing 20–25 year contracts with strict terms and structures for pricing. Only when the customers were confirmed and the development of a greenfield project deemed economically feasible do the sponsors of an LNG project invest in their development and operation. As a result the LNG liquefaction business has been regarded as a game of the rich, where only players with strong financial and political resources can get involved.
Global LNG demand is expected to grow considerably. The International Energy Agency estimates that European imports of gas from Africa and the Middle East (mainly in the form of LNG) will quadruple by 2030 (source: Economist, 14/4/07, p39). The largest LNG train in operation anywhere in the world is now in Qatar.
Qatar‘s largest lender Qatar National Bank (QNB) is predicting that Qatar’s economy will grow by a further 26 percent in 2008.
Qatar’s gross domestic product (GDP) at purchasing power parity (PPP) per capita, the value of all final goods and services produced within a nation in a given year divided by the average (or mid-year) population for the same year is USD$85,638, which makes Qatar the wealthiest nation in the world according to the International Monetary Fund World Economic Outlook Database as at October 2008.
Added to the wealth, forecast long term economic growth, expatriate salary levels in Qatar are reputed to be higher than most other Gulf States in US Dollar terms. Further good news for expats in Qatar (for now) is that the Qatar Riyal is fixed against the US Dollar. The relative strengthening of the US Dollar against most currencies translates to a strengthening of the Qatar Riyal. Between July and December 2008 the exchange rate has moved strongly in the favor of expatriates for most currencies. According to the currency website Oanda the following currencies weakened against the Qatar Riyal between 1 July 2008 and 1 December 2008, resulting in increases in terms of home currency for expats working in Qatar of:
- 47% for Australian expats;
- 29.6% for British expats;
- 24.3% for European expats;
- 18.7% for Indian expats;
- 39.3% for Indonesian expats;
- 13.9% for Malaysian expats;
- 11.2% for Philippine expats;
- 11.1% for Singaporean expats;
- 28% for South African expats
According to the recent GulfTalent report “Gulf Compensation Trends 2008” Basic Salaries rose in Qatar by 10.6% in 2007 and 12.7% in 2008.
The rapid growth in Qatar has however pushed up the cost of living for expats particularly that of housing costs. WWW.Xpatulator.com data shows that in November 2008 Doha was ranked the 45th most expensive city in the world for expatriates to live with an overall cost of living index of 100.64 (New York=100 and ranks 50th). To put this in context with some of the comparator global cities:
Qatar is more expensive for expatriates to live than places such as;
Rank Location (Overall Cost of Living Index New York=100)
56 Germany, Berlin (98.18);
62 Australia, Melbourne (95.88);
66 Singapore, Singapore (94.6);
68 USA, Los Angeles Calif (93.93);
82 Bahrain, Manama (90.82);
100 United Arab Emirates, Abu Dhabi (87.16);
116 United Kingdom, Birmingham (84.76);
126 Philippines, Manila (82.07);
130 Indonesia, Jakarta (81.76);
171 India, Mumbai (76.04);
181 Kuwait, Kuwait City (75.22);
183 Saudi Arabia, Riyadh (75.08);
206 India, New Delhi (71.4);
239 South Africa, Johannesburg (64.51);
241 Egypt, Cairo (64.18);
248 Pakistan, Lahore (59.48);
255 Pakistan, Karachi (57.72)
However Qatar is less expensive for expatriates to live than places such as;
Rank Location (Overall Cost of Living Index New York=100)
6 United Kingdom, London (118.23);
12 Ireland, Dublin (112.65);
29 Australia, Sydney (106.52);
34 United Arab Emirates, Dubai (103.36)
Has Qatar peeked at it’s current rank as the 45th most expensive place in the world for expatriates to live? It appears unlikely to have peeked in the immediate term due to high inflation in 2008 which, according to the Qatar General Secretariat for Development Planning (GSDP) as at mid-2008, is 16.6% per annum overall. The high inflation is being driven by two key inflationary elements “Rent, Fuel and Energy” at 24.4% and “Food, beverages & tobacco” at 22%. It is likely that Qatar will peek at around 40th most expensive place in the world for expatriates in 2009 before the global economy begins to pick up again and other countries cost of living increase relative to Qatar from 2010.
Qatar inflation forecasts for 2009 vary, but the consensus appears to be that the rate of inflation will be less severe than in 2008, and is expected to return towards slightly above 10%.
The general consensus is that the global recession will inevitably also impact Qatar, however it is likely to be less severe given the exposure to Petroleum in general and LNG in particular. Once again Qatar is well positioned in that one of the expected consequences of the recession in Qatar’s case is that inflationary pressures should ease as property demand cools along with a stabilization of rent increases, which have been severe in recent years, given that the slow down allows supply to catch up with demand.
So, if you had never given Qatar consideration as an expatriate destination of choice, I am sure you should now.
Steven Coleman runs the most comprehensive international cost of living website available www.xpatulator.com an internet service that provides free cost of living and hardship information for 276 global locations to registered users. The premium content calculators allow you to customise your own cost of living index by choosing your own basket groups.
