South Africa has ranked as one of the world's worst countries for expats in the seventh InterNations Expat Insider survey.
SA came in 57th out of 59 destinations in the Expat Insider 2021 survey - also landing in the bottom 10 for personal finance (55th), working abroad (54th), and the quality of life (52nd).
With more than 12 000 respondents from its 4-million strong global community, the survey takes an extensive look at living and working abroad, offering in-depth information on expats’ satisfaction with the quality of life, ease of settling in, working life, personal finance, and the cost of living in their respective country of residence.
On the other end of the spectrum, Taiwan, Mexico, Costa Rica, Malaysia, Portugal, New Zealand, Australia, Ecuador, Canada, and Vietnam have been voted the best destinations for expats in 2021.
Only Kuwait (59th) and Italy (58th) have ranked worse than South Africa. Expats did however find SA more palatable when it came to ease of settling in (33rd) and the cost of living (28th).
SEE: Global cost of the property market | SA ranks as one of the most affordable
Kuwait is the hardest country for expats to feel at home in, Italy is the worst for personal finances, and expats in South Africa do not feel safe.
Personal wealth called into question
And while research from Australian based company comparethemarket.com.au reveals that South Africa ranks 4th in the top ten most affordable countries to buy a house in, New World Wealth data shows South Africa's ability to retain wealth declined by 25% over the last decade, while an estimated 4 200 High Net Worth Individuals have left the country.
READ: SA bleeding dollar millionaires as wealth declines by 25%
This picture is further reflected in the InterNaions expat survey results as South Africa ranks as one of the worst in the Personal Finance Index (55th) - over one-third of expats in South Africa (34%) do not consider their disposable household income enough to cover all their expenses — 10 percentage points more than the global average (24%).
According to the InterNations data, 47% of survey respondents in South Africa only have an income of up to 25,000 USD per year (about R351 500 @R14.04/$) compared to 30% globally, and 27% have even less than 12,000 USD at their disposal versus 15% globally.
South Africa also lands among the bottom 10 of the Working Abroad Index (54th), coming last worldwide in the Economy & Job Security subcategory (59th). Only 47% of expats are satisfied with their job security (vs. 61% globally), and less than a third (31%) are happy with the state of the local economy — exactly half the global average (62%). Moreover, only 32% are satisfied with the local career opportunities (vs. 45% globally).
A Zimbabwean respondent agrees that “there are not many career opportunities”.
'Great Climate but concern about safety'
Ranking among the bottom 10 in the Quality of Life Index (52nd), South Africa ranks last worldwide in the Safety & Security subcategory (59th). More than one-third of expats (34%) do not consider South Africa a peaceful country (vs. 9% globally) and just about one in four (24%) feel safe there (vs. 84% globally).
An Ethiopian expat says, “You are not able to walk around safely.” However, South Africa does well in the Leisure Options subcategory (15th), with 87% of expats rating the climate and weather favorably (vs. 66% globally). The majority (95%) is also satisfied with the natural environment (vs. 84% globally). “I like the climate, the diverse coastlines, and South Africa’s natural beauty,” says a German expat.
In fact, half the expats (50%) are satisfied with the cost of living, about the same as the global average (48%). While the country also lands in a mid-field rank in the Ease of Settling In Index (33rd), the results are slightly below average. Close to half the expats (48%) find it easy to make local friends (vs. 44% globally).
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Ranking among the bottom 10 in the Quality of Life Index (52nd), South Africa performs especially poorly in the Safety & Security subcategory (59th). More than one-third of expats (34%) do not consider South Africa a peaceful country — nearly four times the global average (9%). And just about one in four (24%) feel safe in South Africa, compared to 84% globally. “There are security issues,” shares a French expat. And an Ethiopian expat even says: “You are not able to walk around safely.” Moreover, 43% of respondents rate the country’s political stability negatively (vs. 16% globally).
However, South Africa does well in the Leisure Options subcategory (15th), with 87% of expats rating the climate and weather favorably (vs. 66% globally). The majority of expats (95%) is also satisfied with the natural environment (vs. 84% globally).
“I like the climate, the diverse coastlines, and South Africa’s natural beauty,” says a German expat.
Here's an overview of the Top Destinations for Expats 2021:
1. Taiwan
Taiwan ranks 1st out of 59 destinations for the third year in a row in the Expat Insider 2021 survey. It also comes first in the Quality of Life and Working Abroad Indices: Most expats are satisfied with their job security (83% vs. 61% globally) and the state of the local economy (85% vs. 62% globally).
Additionally, the majority is happy with their job (75% vs. 68% globally) and their life in general (80% vs. 75% globally). Furthermore, 96% of expats rate the quality of medical care positively (vs. 71% globally), and another 94% are satisfied with its affordability (vs. 61% globally). An expat from Chile shares: “The Taiwanese healthcare system truly considers people as human beings instead of mere numbers.” Moreover, not a single expat (0%) feels personally unsafe in Taiwan (vs. 8% globally). An expat from Canada shares: “I can live independently. I feel safe wherever I go, and everything is
convenient.”
Although Taiwan places slightly lower in the Ease of Settling In Index (13th), it is the best-ranking country worldwide in the Friendliness subcategory (1st). Most expats find it easy to make friends there (62% vs. 48% globally) and describe the Taiwanese population as friendly towards foreign residents (96% vs. 67% globally).
READ: High-end buyers snapping up SA's luxury properties at 'bargain' prices
2. Mexico
Mexico ranks 2nd out of 59 destinations worldwide. It is even rated the best country for expats in the Ease of Settling In Index (1st): 85% find it easy to settle down in Mexico (vs. 62% globally), and 78% say it is easy to make local friends (vs. 44% globally). A US American expat says that “the culture and friendliness of the local people” is their favorite thing about living in Mexico.
Mexico also does well in the Personal Finance (2nd) and Cost of Living (4th) Indices. In fact, four in five expats (80%) are satisfied with their financial situation (vs. 64% globally), and 90% say their disposable household income is enough or more than enough to cover their living expenses (vs. 77% globally).
Mexico performs slightly below average in the Quality of Life Index (31st). It comes in 42nd place in the Quality of the Environment subcategory, with 27% of expats being unhappy with the water and sanitation infrastructure (vs. 12% globally). Additionally, Mexico even ends up among the bottom 10 of the Safety & Security subcategory (51st), with 20% of expats concerned about their personal safety (vs. 8% globally). Despite that, 89% of expats in Mexico are happy with their life in general (vs. 75% globally), placing the country first worldwide for personal happiness.
3. Costa Rica
Costa Rica places 3rd out of 59 countries in the Expat Insider 2021 survey. It ranks among the top 5 in the Ease of Settling In Index (3rd), with 91% of expats describing the population as generally friendly (vs. 69% globally). Another 87% describe the local residents as generally friendly towards foreign ones (vs. 67% globally), and 70% find it easy to make local friends (vs. 44% globally). “I love the social life and culture,” shares a US American expat. Maybe this is why most survey respondents find it easy to get used to the local culture (82% vs. 65% globally) and feel at home in it too (80% vs. 63% globally).
Costa Rica performs well in the Quality of Life Index (14th), coming in second place worldwide for personal happiness — just behind Mexico (1st). All things considered, 88% of expats in Costa Rica are happy with their life (vs. 75% globally). The country comes 10th in the Quality of the Environment subcategory, with the majority of expats rating the natural environment (96% vs. 84% globally) and the air quality (91% vs. 66% globally) positively. However, Costa Rica lands in the bottom 10 of the Travel & Transportation subcategory (52nd): 29% of expats are unhappy with the public transportation system (vs. 15% globally). A Canadian expat shares: “Traffic is terrible because of poor drivers, bad roads, and insufficient infrastructure.”
On the upside, Costa Rica makes it into the top 10 of the Personal Finance Index (7th), with 84% of expats considering their disposable household income enough or more than enough to cover all expenses (vs. 77% globally).
4. Malaysia
Ranking 4th out of 59 countries in the Expat Insider 2021 survey, Malaysia ranks above the global average in every index. The country does particularly well in the Ease of Settling In Index (2nd) — as a US American expat puts it: “It is easy to live here, and the people are wonderful.” In fact, most expats find it easy to settle down in Malaysia (77% vs. 62% globally) and to make new friends there (66% vs. 48% globally). It might help that Malaysia ranks first in the Language subcategory: 92% of expats find it easy to live there without speaking the local language (vs. 54% globally), while 45% also consider it easy to learn (vs. 39% globally).
The country also does exceedingly well in the Cost of Living Index (2nd), where just Vietnam (1st) performs better. In fact, 82% of expats rate the cost of living in Malaysia positively (vs. 48% globally).
With the destination ranking 9th in the Personal Finance Index, 73% of expats are satisfied with their financial situation (vs. 64% globally), and 85% say their disposable household income is enough or more than enough to cover their expenses (vs. 77% globally).
Malaysia does worst in the Working Abroad Index, but it still lands in a slightly above-average 25th place: 72% of expats are satisfied with their working hours (vs. 66% globally), and 69% are happy with their job in general (vs. 68% globally).
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