Thursday, March 24, 2011

Expatriate Spotlight on Algiers in Algeria

Algiers is a large, busy, Mediterranean city that, thanks mainly to oil and gas, is growing and prospering. The number of new cars on the roads is a sign of growing personal prosperity. The population has doubled in the last 20 years. It is the largest port in northwest Africa and the largest city too. Despite the growth Algiers has preserved its old mystique and strong sense of identity in dazzlingly white.

Algiers cost of living* compared to Houston Tx:

  • Alcohol & Tobacco is more expensive
  • Clothing is cheaper
  • Communication is cheaper
  • Education is cheaper
  • Furniture & Appliances is cheaper
  • Groceries is cheaper
  • Healthcare is more expensive
  • Household is more expensive
  • Miscellaneous is cheaper
  • Personal Care is more expensive
  • Recreation & Culture is cheaper
  • Restaurants Meals Out and Hotels is cheaper
  • Transport is cheaper
*As at 1 January 2011

The overall weighted cost of living difference between Houston and Algiers is 5.21%.

Hardship compared to Houston:
Houston is ranked as a minimal hardship location with a hardship premium of 10%. Algiers is ranked as an extreme hardship location with a hardship premium of 40%. The relative difference in hardship premium (i.e. Host Location Premium minus Home Location Premium) is 30%.

Salary Purchasing Power Parity (SPPP)
The SPPP report calculates how much you need to earn in another location to compensate for a higher cost of living, hardship, and the exchange rate, in order to have the same relative spending power and as a result have a similar standard of living as you have in your current location.

A person would require a salary of 135,205.39 US Dollar (USD) in Algiers to have the same standard of living as currently enjoyed in Houston on a salary of 100,000.00 US Dollar (USD). This salary compensates for the overall cost of living difference of 5.2%, the hardship difference of 30%, and the exchange rate.

SPPP Formula: Salary in Houston ($100,000) + Cost of Living Difference ($5,205.39) + Hardship ($30,000) = $
135,205.39 Salary in Algiers

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