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Country Profile

Cost of Living in Abu Dhabi

Jun 23, 2009

The United Arab Emirates (UAE) attracts a lot of international attention each year. The number of OFWs in this region, mostly from India and the Philippines, is steadily growing. Most of them are either employed in the oil and service industries.

 

Of all the Emirates, Dubai is arguably the most popular. It is the one that has gained international acclaim for its architecture and unique structures. However, another emirate is catching up with Dubai. That emirate is Abu Dhabi. It is the biggest of all UAE regions, unfortunately, it can easily be the most expensive to live in. So, what can OFWs expect when they decide to work and live there? What exactly is the cost of living in Abu Dhabi?

 

Abu Dhabi is the capital of the UAE. It is the seat of government. It is also the biggest of all the emirates and is considered to be one of the most expensive middle eastern city to live in. In a recent study, Abu Dhabi ranked as number 30 in the list of the world’s most expensive cities. However, the study also showed that that the most expensive costs in Abu Dhabi is attributed to housing and education. Still, despite its ranking and high cost of living, Abu Dhabi is a great place to work and live in. Other expensive cities in the UAE include Dubai and Beirut. Dubai is only a 90-minute drive from the city center of Abu Dhabi.

 

Cost of Living in Abu Dhabi

 

Finding a comprehensive list of the cost of living in Dubai or Lebanon is easy enough since most OFWs and tourists are attracted to those regions. But, what about Abu Dhabi. How much will it cost an OFW or even a native to live there? Here a few numbers that can shed light and give a ballpark number of the cost of living in Abu Dhabi.

 

Accommodation

 

Abu Dhabi gets the distinction of being one of the most expensive emirates in the UAE because of accommodation costs.

 

Unlike Dubai, non-residential expats are still not allowed to own residences in Abu Dhabi. As a result, they have to settle for renting out a place. Most rent agreements are settled before the OFW even arrives in Abu Dhabi. Employers usually see to it that the people they hire have some place to stay. Often accommodation allowances are also provided together with the salary.

 

Renting a place in Abu Dhabi can cost upwards of 55K USD a year – but then again, that rate is for three or four room villas. Smaller houses and apartments can cost as little as 14K USD a year or a little more than 1K USD a month. Those amounts are still very steep, that is why some OFWs who visit Abu Dhabi for work find it cheaper to share apartments with other OFWs.

 

The high cost of accommodation in Abu Dhabi is attributed a growing population. OFW and expat numbers are increasing each year and hardly any new accommodations have been added.

 

Food

 

Food is one of the more affordable costs in Abu Dhabi. Anybody can dine out for as little as 15 DHs or roughly 4 USD. High-end dinners can cost as high as 45 USD. Some OFWs also find that cooking at home is much cheaper. However, it can be very tempting to eat out since Abu Dhabi is peppered with restaurants and diners that offer local and international fare.

 

Transportation

 

Transportation in Abu Dhabi is also more affordable compared to other UAE emirates. A cab ride from one end of the city to the other will set the rider back only 1.50 USD or even less. Buses are also available for public transport. An air conditioned bus ride to Dubai will cost around 10 USD. OFWs also have the option of renting a car. Car rental agreements may vary from one company to another.

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Reader Comments
 I think you cannot find anymore an apartment or a house in Abu Dhabi for US$14k or AED51k per year. A basic studio room with attached bath and kitchen is already costing minimum AED60k. - Arthur Villasanta

 Thank you for this helpful information. I have a job offer to work as Club Mgr. in Abu Dhabi and I was offered with a monthly salary of AED5,500 and I'm wondering if this would be enough for me? - Blueneo

 If a paper cup of tea with milk that costs US$0.22 (SR1.00) here in Dammam and Al-Khobar, as the basis of cost of living index, it is safe to assume that cost of living here in Saudi Arabia is much much cheaper than Abu Dhabi. The same cup of tea costs SR5.00 in nearby Bahrain. Further, cost of regular meal (two viands, rice and leche flan plus one bottle of mineral water) in Al-Khobar is barely US$3.00. - Avelino Falcon

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