Salary Equivalence

London vs Karachi

Quick answer
£120,000 in London ≈ £37,910 in Karachi

Salary equivalence calculator

£37,910

Price-level ratio 0.316. Adjust to recalculate.

MetricLondonKarachiDifference
Price level index (NYC=100)82.326.0-68.4%
Rent index (NYC=100)74.616.0-78.6%
Equivalent of £120,000£120,000£37,910cheaper
  • Karachi is about 68% cheaper than London, so the same lifestyle costs less.

How far does your salary go in Karachi?

Moving from London to Karachi changes your cost of living in ways a currency conversion can't capture. What matters is purchasing power: how much the same basket of housing, food, transport and services costs in each place. On our index, where New York City = 100, London sits at 82.3 and Karachi at 26.0.

That makes Karachi roughly 68% cheaper. A salary of £120,000 in London translates to about £37,910 in Karachi. Above that and you gain in real terms; below it and you take an effective pay cut.

Housing drives the gap

Rent is the largest and most variable line in most budgets. Karachi's rent index is 16.0 versus London's 74.6.

Common mistakes

  • Converting currency instead of purchasing power.
  • Ignoring taxes, which vary by jurisdiction.
  • Forgetting one-off relocation costs.

Bottom line

Karachi is about 68% cheaper than London, so the same lifestyle costs less. Use the calculator to plug in your real salary and compare against any concrete offer.

Rent equivalence: London vs Karachi

£429

Based on the rent-index ratio of 0.214 (London 74.6 vs Karachi 16.0, NYC = 100).

Housing is usually the biggest single difference between two cities, and it moves independently of the overall price level. Renting the equivalent home in Karachi costs about 79% less than in London. Enter your actual rent above to see what a like-for-like place would cost after you move — a more honest gauge of affordability than a raw salary conversion, since renters and owners feel very different impacts.

Frequently asked questions

What salary do I need in Karachi to match London?

To keep the same standard of living as £120,000 in London, you would need roughly £37,910 in Karachi, a price-level ratio of 0.32.

Is Karachi more expensive than London?

No, it is about 68% cheaper overall.

How much is rent in Karachi compared to London?

Rent in Karachi is about 79% lower than in London (rent indices 74.6 vs 16.0, NYC = 100). Use the rent calculator on this page for your exact figure.

How is the equivalent salary calculated?

We multiply your salary by the ratio of the two cities' composite price-level indices (housing, food, transport, services), benchmarked so New York City = 100.

Methodology

We build a composite price-level index for each city from official regional price parities and international purchasing-power parities across housing, food, transport and services, normalized so New York City = 100. The equivalent salary is your salary multiplied by the ratio of the destination index to the origin index. It estimates the income needed to hold real purchasing power constant and does not model taxes.

DE
Dr. Elena Vasquez
Lead Economist, Cost-of-Living Research

Elena holds a PhD in Economics and has spent 12 years modelling purchasing-power parity and regional price indices.

PhD Economics, LSEFormer OECD statistics fellow
✓ Reviewed by Priya Nair, Data Quality Reviewer.
Last updated 2026-06-01
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