Why living in Hanoi is more expensive than TP. HCM City?
According to the General Statistics Office, in 63 provinces and cities directly under the Central Government, Hanoi continues to hold the leading position with the most expensive prices in the country. 2 years ago, this position used to belong to the city. HCM City
Behind Hanoi is Ho Chi Minh City with the SCOLI spatial cost of living index equal to 99.05%.
Some commodity groups what do bold one in Ho Chi Minh City have higher average prices than Hanoi:
Education by 105.43% mainly because tuition fees in private schools and vocational training are higher than in Hanoi; apparel, hats and footwear by 101.26%; housing, electricity, water, fuel and construction materials by 102.03%.
However, in contrast, many groups of goods in the city. HCM City has a lower average price than Hanoi, this is the difference that makes the cost of living of the city. Ho Chi Minh City ranked second in the country:
Food and catering services by 98.21%; beverages and tobacco by 97.33%; household equipment and housewares by 98.12%; medicine and medical service 97.43%; traffic by 97.31%; post and telecommunications by 96.23%; culture, entertainment and tourism by 97.63%; goods and other services 95.83%.
Also according to the report, provinces like Hau Giang (ranked 63), Soc Trang (ranked 62), Tra Vinh (ranked 61) had the lowest SCOLI in the country. In addition, some other provinces also have low SCOLI in 2020: Ha Nam – 60th (90.86%), Dong Thap – 59th (90.87%), Quang Ngai – 58th ( 90.89%), Vinh Long – 57th (90.93%), Gia Lai – 56th (90.97%), Hung Yen – 55th (91.05%).
In general, the provinces with the lowest prices in the country are largely due to the prices of goods in the food and catering services group; apparel, hats and footwear; rental housing, appliances and household appliances; transportation, post and telecommunications; educational services; The price of living by space index (SCOLI) is a relative indicator (in%) reflecting the difference in prices of goods and services serving life. People daily between provinces / centrally run cities, between regions of the country at a time (month, quarter or year). SCOLI is calculated on the basis of the international comparative price methodology with the Data Source of the Consumer Price Survey.
This index is used in analyzing the results of the implementation of poverty reduction policies, difficulty subsidies, salary subsidies and the study of the living standards of the population among provinces, regions and regions of the country …
At the same time, this index is also the basis for calculating the Human Development Index (HDI), calculating the Gross Product in the provinces and centrally-run cities (GRDP) according to relative purchasing power, and minimum living standard and regional wage adjustment, calculating investment costs, assessing price competitiveness, diet, accommodation, per diem according to regional prices. SCOLI is used to eliminate price differences in household income and expenditure across regions. From there, calculate the household income and expenditure with the same price level to calculate the poverty rate.
Cre to cafef.vn