International Living magazine has identified the five most affordable places to live or retire in 2026, which scored the highest in the cost-of-living category of its 2026 Global Retirement Index.
It evaluated retirement destinations across climate, healthcare, visa and lifestyle, along with cost.
Sri Lanka ranked top of the list due to affordable local transportation and easy-to-obtain retirement visas. A couple can live extravagantly on $2,200 (£1,637) a month, or on $1,000 (£744) with some budgeting.
In second place is Vietnam, with the average cost of living in Hanoi sitting at under $1,800 (£1,339) per month. Rent is low and healthcare is affordable.
Thailand was ranked third, because a couple can live comfortably for around $2,000 (£1,488) a month in cities such as Chiang Mai or coastal towns such as Hua Hin. These both have affordable housing, and accessible services and transportation.
In fourth place is Bali, Indonesia, where a villa near the beach can be rented for under $900 (£669) per month. The cost of living can be as low as $1,400 (£1,042) a month and it has quality healthcare.
Rounding out the list is Malaysia, with affordable apartments with low utility costs in Penang. A couple can live comfortably for around $2,500 (£1,860) per month, and public transport and healthcare are reliable and inexpensive.
Jennifer Stevens, executive editor of International Living, said: “These countries represent the best value for money we’ve found anywhere in the world today, especially for retirees seeking adventure, comfort, and financial peace of mind. These are destinations where a lower cost of living goes hand in hand with a high quality of life. What makes these places stand out isn’t just the low prices, it’s the lifestyle that comes with them.”
Source: Employee Benefits
--Agencies
