‘Mumbai world’s 2nd least expensive city,Delhi 4th’

Karachi in Pakistan has been named as the cheapest destination globally,while Zurich in Switzerland is the most expensive place across the world,as per the survey.

Inflationary pressures have figured among the key concerns facing the government as well as the public in India for many months now,although the rate of inflation has declined a bit in recent past.

The country’s headline inflation fell to 6.55 per cent in January 2012. It had stood at 7.47 per cent in December 2011.

Despite the drop in inflation in January,Finance Minister Pranab Mukherjee had said the rate of price rise is “still not at acceptable level” and hoped for further dip.

In the EIU survey,three of the four cheapest locations globally — Karachi,Mumbai,Tehran and New Delhi — are from the Indian subcontinent.

“India has been such a target of labour outsourcing,relocation and FDI over the last decade,” EIU said. “With cheap labour and land costs making India and Pakistan incredibly attractive to those bargain hungry visitors or investors willing to brave some of the security risks that accompany such low prices,especially in Pakistan,” it added.