Categories: World

180,000 francs and more: buying a car in this city costs a fortune

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In Singapore you need a permit that allows you to buy and own a car.

In some cities you have to pay extra fees for driving. In London, for example, where a driver pays the equivalent of R16.70 in traffic congestion charges per day. However, if you look at the city-state of Singapore, this amount no longer seems so high.

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Because in Singapore you need a ‘Certificate of Entitlement’ (COE) – a certificate that gives you the right to buy and own a car. As “t3n” reports, this was introduced in the 1990s to prevent traffic from collapsing.

Limited number of certificates

But supply is significantly lower than demand: only 950,000 COE is available for the city-state’s six million inhabitants. This drives the price up. One option is to sell certificates, otherwise only one will be released when a car is deregistered.

Although the average annual income in Singapore is high at $120,000, you have to pay a whopping $106,000 for a car license, according to Spiegel. Moreover, there is currently persistent inflation after a long period of economic boom.

Is a car even worth it?

According to Reuters calculations, a Toyota Camry Hybrid in Singapore costs a total of $183,000, including purchase price, registration fees and taxes. For comparison, the price for the same model in the US is only about $29,000.

Such high fees for permission to own a car don’t sound particularly tempting. At the same time, the question arises whether a car makes sense at all. Singapore is so bright that you can quickly travel from one end of the island to the other. (gs)

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Source: Blick

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