Luxury fashion, wine most expensive in Manila

MANILA, Philippines — Luxury bags, men’s suit and whisky cost the most in Manila based on an annual wealth and lifestyle survey covering 25 major cities worldwide.

In the Global Wealth and Lifestyle Report 2021, Manila is the most expensive city to buy ladies’ luxury bags, men’s suit and whisky in an index where Shanghai, Tokyo, Hong Kong, Dubai and New York are included.

Likewise, Manila is the second most costly city to buy a bicycle despite being located in Asia Pacific where it is cheapest to acquire the two-wheeled unit.

“Prices in Manila jumped by nine percent overall during 2020, eight percent faster than the average of the cities in our index. It is the most expensive place to buy exclusive fashion such as ladies’ handbags and men’s suits,” the report said.

“It is not cheap to travel either. Locals are paying over the odds for cars, bicycles and business class flights, which have seen a 63 percent rise in US dollar terms,” it added.

The report attributed the increase in cost on wine and alcohol to the government’s aggression to hike taxes on “sin products” that include cigarettes.

On the other hand, Manila is the cheapest city to hire the services of a lawyer, and maintains the third lowest rate for health insurance, only behind Shanghai and Singapore.

Further, Manila is the fourth cheapest location across the world for owning a residential property, trailing Johannesburg, Mexico City and Sao Paulo.

“In contrast, this is the cheapest place in the index to engage a lawyer, with the lowest fees. Property is also affordable,” the report said.

“The residential sector has stayed relatively buoyant, despite the COVID-19 crisis, because of the high levels of digital inclusion in the Philippines. Estate agents move swiftly to take advantage of online viewings and digital payments,” it added.

The report, released yearly by wealth manager Julius Baer, said $600 million of the $1.3 billion luxury goods market in the Philippines is made up of cosmetics and fragrances.

The Swiss firm anticipates these sectors to grow by at least eight percent annually for the next five years, and would enhance the performance of the luxury sector in the country.

The Global Wealth and Lifestyle Report is based on a basket of 20 luxury products and services that represent discretionary purchases from consumers worldwide.