Comparing the Cost of Living in Turkey and Egypt for a Medium-Small Size Business Owner

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Comparing the Cost of Living in Turkey and Egypt for a Medium-Small Size Business Owner

As a medium-small size business owner, choosing the right country to live and operate your business can significantly impact your financial stability and overall lifestyle. Turkey and Egypt are two prominent options, each offering unique advantages and challenges. Below, we provide a detailed comparison of the cost of living in Turkey and Egypt, highlighting key factors such as housing, utilities, transportation, food, and business costs, with reference numbers to give you a clearer picture.

Housing

Turkey

Rental Costs: In Istanbul, the cost of renting a one-bedroom apartment in the city center averages around $500-700 per month. In other major cities like Ankara and Izmir, the cost is slightly lower, ranging from $400-600.

Buying Property: The price per square meter to buy an apartment in the city center is approximately $1,000-2,000, depending on the location and amenities.

Egypt

Rental Costs: In Cairo, the cost of renting a two-bedroom apartment in the city center is about $50-120 per month. In other major cities like Alexandria, it ranges from $40-100.

Buying Property: The price per square meter to buy an apartment in the city center is approximately $400-800, making it more affordable compared to Turkey.

Utilities

Turkey

Electricity, Heating, Cooling, Water, Garbage: The average monthly cost for utilities for an 85m² apartment is about $50-100.

Internet: The average monthly cost for internet service is around $15-20.

Egypt

Electricity, Heating, Cooling, Water, Garbage: The average monthly cost for utilities for an 85m² apartment is approximately $20-40.

Internet: The average monthly cost for internet service is around $7-10.

Transportation

Turkey

Public Transport: A monthly pass for public transportation in major cities like Istanbul costs about $30-40.

Gasoline: The price of gasoline is approximately $1.20 per liter.

Egypt

Public Transport: A monthly pass for public transportation in Cairo costs about $7-10.

Gasoline: The price of gasoline is approximately $0.3 per liter, significantly cheaper than in Turkey.

Food and Groceries

Turkey

Groceries: The average monthly cost for groceries for a family of four is around $250-400.

Dining Out: A meal at an inexpensive restaurant costs about $3-6, while a three-course meal for two at a mid-range restaurant is around $20-40.

Egypt

Groceries: The average monthly cost for groceries for a family of four is approximately $100-170.

Dining Out: A meal at an inexpensive restaurant costs about $1.5-3, while a three-course meal for two at a mid-range restaurant is around $10-30.

Business Costs

Turkey

Office Space: Renting office space in city centers like Istanbul costs about $15-30 per square meter per month.

Employee Salaries: The average monthly salary for a mid-level employee is about $700-1,000.

Taxes: Corporate tax rate in Turkey is 20%, and there is also a value-added tax (VAT) of 18%.

Egypt

Office Space: Renting office space in city centers like Cairo costs about $7-14 per square meter per month.

Employee Salaries: The average monthly salary for a mid-level employee is about $200-300.

Taxes: Corporate tax rate in Egypt is 22.5%, and the VAT is 14%.

Summary

Turkey

  • Housing: Higher rental and purchase costs compared to Egypt.
  • Utilities: Moderate costs, with internet being slightly more expensive.
  • Transportation: Higher public transportation and gasoline costs.
  • Food: Higher grocery and dining out expenses.
  • Business Costs: Higher office rental costs and employee salaries, but slightly lower corporate tax rate.

Egypt

  • Housing: More affordable rental and purchase options.
  • Utilities: Lower costs for utilities and internet.
  • Transportation: Significantly cheaper public transportation and gasoline.
  • Food: Lower grocery and dining out expenses.
  • Business Costs: Lower office rental costs and employee salaries, but a slightly higher corporate tax rate.

In conclusion, while Turkey offers a more structured and potentially lucrative market, Egypt provides a more affordable living and business environment. Your choice will depend on your business priorities, financial flexibility, and personal lifestyle preferences.

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