Abu Dhabi and Dubai, the wealthiest and most renowned emirates in the country, offer a high standard of living. These cities attract numerous tourists and expatriates from around the globe. However, the cost of living in Abu Dhabi and Dubai varies. Explore the expenses of food, transportation, education, and other necessities in both cities to compare their affordability.
Housing
Expatriates have the option to invest in residential real estate in both Dubai and Abu Dhabi, with costs varying depending on the desired location. For instance, in Abu Dhabi, one square metre on Al Reem Island costs around $2,000, while prices can reach up to $5,000 on Yas Island. Similarly, in Dubai, the price per square metre starts at $2,000 in more affordable areas like International City and rises to $7,000 in sought-after districts like Dubai Marina.
An intriguing trend reveals that residential property prices in Dubai are experiencing a faster growth rate compared to Abu Dhabi. In 2022, flat prices surged by 10% and villa prices by 20.2% in Dubai. In contrast, Abu Dhabi witnessed a more modest increase, with flat prices rising by 1.6% and villa prices by only 1.1%.
Photo: Zalfa Imani (Unsplash)
Dubai's rental rates have surged by 13.1% primarily due to the increasing number of expatriates moving to the city. Presently, to rent a one-bedroom flat for a year, you would need at least $21,000, while villas require a budget of $65,000.
Abu Dhabi experiences lower demand for real estate, resulting in more affordable prices. Renting a one-bedroom flat in this city costs around $14,000 per year, while villa prices start at $40,000 annually.
Food
Dubai offers a diverse selection of food familiar to Europeans, available in supermarkets and restaurants. However, it tends to be pricier compared to Abu Dhabi. According to Numbeo, a three-course lunch for two in Abu Dhabi costs 250 AED ($68), whereas in Dubai, it amounts to 300 AED ($82).
A small bottle of water (0.33 litre) in Dubai is 2 AED ($0.5) and 1.25 AED in Abu Dhabi ($0.3).
Grocery prices are not the same either, they are a bit higher in Dubai.
Food Item | Dubai (AED/USD) | Abu Dhabi (AED/USD) |
1 litre of milk | 7/$1.9 | 7/$1.9 |
A loaf of bread | 6 ($1,6) | 5 ($1,4) |
1 kg of rice | 8 ($2,3) | 6 ($1,6) |
10 eggs | 12 ($3,3) | 10 ($2,7) |
Cheese | 40 ($10,9) | 29 ($7,9) |
Chicken fillet | 31 ($8,4) | 28 ($7,6) |
1 kg of bananas | 7 ($2) | 6 ($1,6) |
1 kg of potatoes | 4 ($1) | 3 ($0,8) |
Transport
Both emirates have well-developed public transport systems, including buses and taxis. Additionally, Dubai boasts a completed metro system, whereas Abu Dhabi's metro system is still under construction.
In Abu Dhabi, a single ticket for public transport costs 2 AED ($0.5), while in Dubai, it amounts to 5.75 AED ($1.6). For a monthly pass, the price is 80 AED ($22) in Abu Dhabi and 345 AED ($94) in Dubai.
By the way, taxi rates are consistent in both cities, at 30 AED per hour ($8). Additionally, a litre of petrol costs 4 AED ($1) in both emirates, which explains why many people prefer owning a car here. Buying a car is a practical choice, especially if you frequently need to move around the city or between the emirates, as it can save you some money.
Photo: Abed Ismail (Unsplash)
Healthcare
Both emirates offer public and private clinics and hospitals. It is mandatory for all foreign residents in Dubai and Abu Dhabi to have medical insurance. Failure to comply may result in a fine of 500 AED ($136).
Usually, an employer provides insurance, but it typically covers only basic needs. For extended family medical insurance, the cost starts at $10,000 per year.
Without insurance, you will have to pay a significant amount for every doctor's appointment. For instance, a visit to a GP in Dubai can range from 200 to 400 AED ($54 to $109), while specialty doctors may charge between 500 and 1,000 AED ($136 to $272).
In Abu Dhabi, a GP appointment costs from 200 to 500 AED ($54 to $136), while specialty doctors may charge from 500 to 1,000 AED ($136 to $272).
If you have a serious condition and require hospital treatment, be prepared to pay from 800 to 1,500 AED ($218 to $408) per night in hospitals in Dubai, and from 700 to 1,500 AED ($190 to $408) in Abu Dhabi.
Education
Children in both emirates have the option to attend public or private schools, but neither of these options is free for expatriates.
The annual cost of studying at a public primary school in Dubai ranges from 8,000 to 16,000 AED ($2,180 to $4,360), while fees for a secondary school range from 10,000 to 20,000 AED ($2,725 to $5,450). In Abu Dhabi, primary schools charge between 6,000 and 12,000 AED a year ($1,630 to $3,270), and secondary schools cost between 8,000 and 16,000 AED a year ($2,180 to $4,360).
Private schools in Dubai and Abu Dhabi offer a variety of international study programs. Students can enrol in an IB program or choose a course based on British, American, or French curriculum. However, private schools are more expensive in both cities, with the most prestigious institutions charging over 100,000 AED per year ($27,000).
You will not find any free-of-charge nurseries in either Dubai or Abu Dhabi. The annual cost for a nursery with a European curriculum varies from 10,000 to 50,000 AED ($2,725 to $13,625).
University fees vary depending on the university and study programs. For instance, the minimum fee is 60,000 AED ($16,335), while the maximum can reach up to 120,000 AED ($32,670).
However, some universities in Dubai and Abu Dhabi offer scholarships and financial aid to foreign students.
