NOT SO PRICEY ?

It always seems to coincide with the time I start to recruit staff. The annual publication of Mercer's cost of living survey. Visit www.mercer.com/home.htm to see more. For someone like me who runs an SME in Moscow and hires foreigners, it makes rather gloomy reading, as for the second year running Moscow is No 1 in the world. I live in Moscow and London and last year they were first and second, so I guess at a personal level this year is a bit better.

Memo to self. Don't open office in Tokyo - Asuncion shows immense promise.

While not seeking to take issue with Mercers - at least not that much issue - I am not sure I agree with their findings. I commute between London and Moscow on a regular basis and live in Moscow as an expat - eating out plenty, rented flat etc and I have to say I think it's cheaper then London. Much cheaper.

It is perfectly possible to spend a lot of money in Moscow but I guess that you can do the same in Asuncion if you put your mind to it. But you don't have to.

I think many foreigners/expats in Russia simply allow themselves to be ripped off at so many levels. The rents that major corporates pay for frankly pretty shoddy, albeit tarted up IKEA-style flats are crazy. It's easy to find much better value via the agents that Russians use to find places or often simply by asking colleagues. You may not speak enough Russian to find a good value flat but your Russian colleagues will help you. Russians are like that.

Now really don't get me going on the subject of food. There are lots of mid-price supermarkets in Moscow where you can get the weekly food shop. Language ? Pick up food, put in basket and read the total price on the cash register. Just like at home. The card they ask for at the checkout is a loyalty card. Just like at home. A polite nyet, hand over the petrorubles and you'll be on your way. Agreed, foreign food is pricey - French cheese and wine can be silly money - but there is more to life than French cheese and wine. Apparently. The shops many expats use are the equivalent of going to the Harrods food hall every day.

Eating out can be expensive of course in Moscow but look for places where locals go. I don't mean the type of local who is driven around in an S Class V12 with black windows and a blonde on each arm with a mini skirt that is more mini than skirt. I mean regular Muscovites probably earning 1500-2000 bucks a month. They eat out and eat well. The best places are often out of the centre and do not vibrate to the tones of International English. There is however often an English menu and it is common for at least one of the waiting staff - who are often students - to be able to speak some English. Again ask your colleagues where they go.

If you have a driver use them - why not - your Russian colleagues will be baffled if you don't. If not use the metro. Cheap, fast, in English on the maps and safe. Taxis are basically licensed bandits. I just flag down regular cars. Much cheaper. You need a bit of Russian and they can be unsfafe but then again I am nearly two metres with very short hair. Not for expat females perhaps but fine for guys or two women together. Or one guy and two women - we are in Moscow after all.

So there you have it. If you want to be ripped off in Moscow then go for it. If not, go where Russians go and do what they do and Moscow ain't that bad.