Khaberni -Singapore ranked first in the list of the most expensive cities for luxury goods spending for the third consecutive year. London surpassed Hong Kong to take the second spot, while Dubai moved up five places to take the seventh spot on the list.
The third spot in the list of most expensive cities for luxury spending went to Monaco, while Zurich occupied the fourth place. Shanghai, which topped the list in 2022, fell two places to sixth, according to the annual report issued by the Swiss wealth management group "Julius Baer".
For the first time since the inception of this assessment in 2020, the prices tracked by the luxury goods basket decreased by 2 percent. This decline was exceptionally unusual considering that the prices of luxury consumer goods have historically risen at twice the rate of ordinary consumer goods.
Amidst the global uncertainty due to trade tensions and rising tariff rates, Singapore has managed to maintain its stability and security, making it the most expensive place to consume luxury goods. In Hong Kong, a recent residential investment program attracted the attention of wealthy individuals, and hotel suite prices rose by 10.3 percent. Dubai advanced five places in the list to occupy the seventh position, making it a strong competitor to traditional wealth centers around the world such as London, Monaco, and Zurich. The Julius Baer report indicated that the momentum of wealth owners moving to Dubai, which began during the coronavirus pandemic, is expected to continue.
In eighth place in this list, you find New York. It is the only American city in the top ten most expensive cities for luxury spending. Sao Paulo and Mexico City were the cities that fell the most in this survey, with the former losing seven spots to reach sixteenth place, and the latter dropping five spots to take twenty-first place.
The Julius Baer report concluded that the luxury goods sector experienced a slowdown due to rising interest rates, economic contraction, and the looming risks of economic wars. The Julius Baer Lifestyle Index ranks 25 global cities by analyzing the value of residential real estate, cars, business class flights, schools, luxury dining, and other luxuries such as fashion and accessories, and jewelry. The survey, which was conducted during February and March of the year 2025, involved a group of individuals each with a fortune exceeding one million dollars.
