Where is the World’s Cheapest Country to Retire In?

The Number One Cheapest Country to Retire In:

Everyone wants to get the most buying power out their dollars, but just because a country has the cheapest food, rent, real estate, gas, etc. does not necessarily make it a prime consideration as an ideal place to live. Here is a look at the first and second place cheapest country for retirement, with a quick mention of the third, fourth, and fifth.

Even though the old adage “you get what you pay for” usually applies to cheap goods being cheaply made, in other countries you may be surprised to find the opposite holds true.

Annually, Mercer conducts a Cost of Living Survey to determine the most and least expensive countries in which to live. The Republic of Paraguay, a landlocked little gem in South America, comes in as the cheapest country to retire in. Bordered by Argentina, Brazil, and Bolivia, due to its centralized location it is often referred to as the Heart of America. If you want to live like royalty, your dollars will stretch further here than any other place in the world.

The monthly rent of your downtown apartment in the largest city and capital, Asunción, is a mere $150. A steak and salad at a nice restaurant will set you back $3; add on a beer for a miniscule .60 cents. A single night at a comfortable and clean hotel is around $5. With prices like these, Paraguay is a good base from which to explore the rest of the   country and still have plenty left to travel the world.


The Number Two Cheapest Country to Retire In:

The mysterious African country of Zimbabwe comes in second as the cheapest country to retire in. The majority of the country suffers from severe food insecurity, but the goods are relatively cheap due to the country having the world’s highest inflation at 1,000%. Skyrocketing real estate prices balance out with a steep decline in the value of Zimbabwean currency. Two pounds of beef costs about .60 cents and 2 pints of milk is sold for about .90 cents.

Zimbabwe’s current food and economic difficulties have created the worst humanitarian crisis the country has seen since independence.

Once covered by large areas of forest and an abundance of wildlife, poverty and population growth has decimated both to the point of land erosion and infertile soil.

HIV/AIDS and other diseases have reduced the life-expectancy of the country’s people to 43 for males and 33 for females.


Although Zimbabwe may be the second cheapest country to retire in, unless your goal is to aid the poverty stricken citizens of this poor nation in your retirement years it is not a recommended place in which to live. Conversely, Paraguay is an ideal location and its border with the number 3 cheapest country to retire in, Argentina, makes this small nation a very appealing consideration. The Philippines comes in at number 4 and is quite attractive due to its being the only English-speaking, Christian, tropical Asian country. Pakistan is the number 5 cheapest, but its political instability makes owning a 4-bedroom house in Karachi–complete with running water–at $33,000 not worth the risk.


Return to the Cheapest Countries Page

Click here to Return from Cheapest Country to Retire In to Cheapest Places to Retire

feed icon