How this is calculated
Exchange rates tell you how much money you get when you convert your salary. They do not tell you what that money buys. Prices for food, rent and services are lower in many home countries than in the Gulf, so the same money goes further.
The World Bank measures this with purchasing power parity: how much local money buys the same basket of goods and services in each country. This calculator divides your salary by the Gulf country's figure and multiplies it by your home country's figure. The result is what your salary buys in the Gulf, in your home currency.
Example
3,000 SAR a month in Saudi Arabia, family in India
Sent home, the money buys about 2 times what it buys in Saudi Arabia.
Frequently asked questions
Does this mean prices at home are half?
On average, for a typical basket of what people buy. Some things, such as phones, cars or imported goods, cost about the same everywhere, while rent, food and services are often much cheaper at home.
Why do some countries show less than 1?
In Europe and the US prices are higher than in the Gulf, so the same money buys less there.
How current are the figures?
Exchange rates are updated every day. The cost-of-living figures are World Bank estimates for 2025, which change slowly. In countries with high inflation the real difference may be smaller.
From the blog: The cheapest way to send money home: fees vs exchange rate
Last reviewed: October 2026. Purchasing power figures: World Bank, private consumption, 2025 estimates (Qatar 2024). This is a guide, not financial advice.
This page was translated from Arabic. If something is unclear or wrong, please tell us.