Hong Kong Surpasses Switzerland as most expensive country to build in
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Hong Kong Surpasses Switzerland as most expensive country to build in

Hong Kong Surpasses Switzerland as most expensive country to build in
  Hong Kong has now clinched the top position in the list of the most expensive countries to build in.  This commercial capital of Asia is now followed by Switzerland, Denmark, Sweden and Macau. The latest report published by EC Harris show that the construction costs in the United Kingdom have plummeted over the past one year and combined with the weak pound currency and inflation in Europe.  The annual study by EC Harris by taking 47 countries as a benchmark has found that the cheapest countries to build in are India, Indonesia and Vietnam where the construction costs are nearly 40% less than that in the UK.  The costs of building projects in Hong Kong as per the International Construction Cost Report 2013 has been found to be more by 42-68% when compared to the UK. There has been an ongoing inflation in Hong Kong that has been witnessed since last year when the construction industry grew by 15%.  The region gains from consumer spending and tourism from mainland China and that is why there is always a high demand for residential and commercial projects in Hong Kong. Evidence of the high costs of construction is when the high profile art-themed park in West Kowloon, Hong Kong, was ‘indefinitely suspended’ owing to cost issues due to which the budget was being reconsidered in the light of the surging construction costs. Furthermore, a major impact on global construction rates is due to the fluctuations in the currency valuations.  According to Simon Rawlinson, head of strategic research and insight at EC Harris: ‘Currency fluctuations have had a substantial effect on relative construction costs over the past year, particularly the fall of the Yen and the appreciation of the Chinese Yuan. The increased relative value of the Yuan makes importing Chinese materials more expensive, and has also contributed to China moving up the global cost rankings.” However, there was a warning issued by The Royal Institution of Chartered Surveyors stating that there seems to be impending volatility in the Hong Kong property market.  Here is a list of the top ten most costly countries to build in:
  1. Hong Kong
  2. Switzerland
  3. Denmark
  4. Sweden
  5. Macau
  6. Australia
  7. Japan
  8. France
  9. Singapore
  10. Belgium
 
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