MercoPress. South Atlantic News Agency

Punta Arenas, the second most expensive city in Chile

Punta Arenas figures as the second most expensive city in Chile behind the capital Santiago, according to the latest report from the Business School of the Universidad del Desarrollo released this week.

The cheapest city is Talca and the difference with Santiago and Punta Arenas ranges 28/30%. The rating takes as reference the cost of living for a high placed corporation official and includes food, hygiene, communications, education, leisure, transport, clothing, housing, footwear. Data was collected on November 2006. Santiago remains for the fifth year running as the most expensive city, followed by Punta Arenas, Antofagasta and Viña del Mar-Valparaiso. The report also shows significant price differences for the same good between the different locations. For example a kilo of fresh bread costs the equivalent of 1.50 US dollars in Iquique, north of the country, and one US dollar in La Serena. Similarly with beef: a good cut can cost the equivalent of 14 US dollars per kilo in Santiago and the same cut 9.50 US dollars in Choihaique. In Punta Arenas, housing and public utilities are 20% cheaper than in Santiago but the upkeep and maintenance of homes is 5% dearer plus most other goods which have to be flown in.