The cost of living in Kuwait has risen by some 10 to 15 percent in 2011, compared to the year before, online reports say. Expatriates provide anecdotal evidence for such statistics. According to expats, a decent two bedroom flat costs around KD 250 compared to KD 230 the year before. The grocery bills for a family of four in a month has risen to KD 150 compared to KD 140 or less during the previous year. “The problem is the salary which I used to earn six years ago. It is virtually the same. Nothing has changed and yet everything in Kuwait is now very expensive,” a Filipino expat worker told Kuwait Times.

He said the 40 kg rice which he regularly purchased monthly as staple food now costs KD 20 compared to the previous KD 16. “Sometimes it is lower because of promotions. Otherwise, the price is KD 4 higher. Other food items are also 10 to 20 percent higher compared to the year before,” he added.

An Indian couple with grown-up children studying in Kerala (India), noted that over the last five years, he noticed sky-rocketing cost of living in Kuwait. “I have been here for over 30 years. Recently, I have been feeling exhausted while budgeting my salary these days. In the last five years, it was really unimaginable and everything here has gone up,” he said.  When asked to specify what accounts for a lion’s share of the household budget, he gave  a break down -  Food: KD 120, Accommodation: KD 160, Clothing and Transportation: KD 70, Healthcare and others: KD 50. “I cannot save much because my children back home need the money. They are all in university and I need to provide for them. You know, if I could just afford for their tuition fee in Kuwait, which I think is impossible, why would I allow them to go back to India,” he reasoned. His children studied elementary and high-school in Kuwait. He earns a salary of more than KD 600. “Can I afford to pay KD 5,000 to 8,000 for a university degree here? My answer is no. So the usual practice of many Indians whose children complete high-school here is to either send them back home or to other countries. Whichever is a more cheaper and practical alternative,” he noted.

The budget has shrunk in the last few years. What earlier used to cost KD 40 in groceries for two weeks has now doubled. According to a European expat who runs a household of two, the rent and gas expenses have shot up, groceries are more expensive and so are all the utilities.    If single expatriate Muhammad yields to his voracious appetite, a KD 100 bill on food will not suffice. “I’d like to eat a more nutritious meal that will cost me more. So I spend more than KD 170 on food alone. What about other expenses?” he asked. He budgets his money as follows: Food: KD170, Accommodation: KD 200,  Clothing, telephone, internet: KD 50, Transportation and healthcare: KD 100. “My expenses breakdown is considered frugal. if I happen to go out with friends and enjoy life, a KD 500 salary will not be enough,” he said.

The cost of living index covers the prices for defined quantities of some goods and services across several groups. But, since income is not taxed in Kuwait, there is indeed a major advantage, particularly on certain items like cars. However, the cost of living, just as is the case in any other country, would largely depend on personal lifestyle. Like for example, Bangladeshi laborers who earn less than KD100 can budget their money within their reach. A bachelor can share an apartment with friends. In order to save,  many Indian and Filipino families share accommodation. In fact, bachelors here share a room/apartment with at least three others for a monthly rent of KD 30 or more.  “I am renting my bedroom for KD 25 but I share it with five more friends. This is more economical and I spend KD 30 on food. I buy clothes once every three to four months and spend KD 10 on my mobile phone. The rest of the money goes to my family back home,” said a Bangladeshi tea boy who takes home a salary of KD 150.