Cost of Living in Antigua: A Guide for Expats and Investors

Overview of the Cost of Living in Antigua and Barbuda

Aside from the country’s pristine beaches, Antigua and Barbuda attracts thousands of foreigners every year with its exclusive economic zone (EEZ), which takes up over 111,568 square kilometers. The nation's currency, the Eastern Caribbean Dollar (XCD), is also pegged to the US Dollar at a fixed rate of 2.7 XCD to 1 USD, providing further economic stability. 

In 2024, Antigua and Barbuda’s economy grew by 5.8%, primarily due to its booming tourism industry – which accounts for more than 50% of its GDP. Real GDP growth has remained positive since 2021 and is expected to continue into 2025.

Antigua Economic Activity

The country’s economic policies have also been geared towards attracting foreign direct investment, particularly in industries that create jobs and earn foreign exchange. The Antigua and Barbuda Investment Authority (ABIA) has identified tourism and related services (such as real estate and hospitality, yachting and maritime, agriculture and agro-processing, as well as business process outsourcing services) as priority investment areas. 

This increasing focus on tourism and the subsequent development initiatives (luxury resorts and residential communities) will boost Antigua and Barbuda’s economy even more in the next couple of years, including the cost of living.

Additionally, the country is party to the Caribbean Community (CARICOM), the Organization of Eastern Caribbean States (OECS), the CARIFORUM-EU Economic Partnership Agreement, the CARIFORUM-UK Economic Partnership Agreement, and the Caribbean/Canada Trade Agreement (CARIBCAN), to further boost economic activity.

Antigua vs Other Caribbean Countries

Compared to other Caribbean nations, Antigua and Barbuda's cost of living is relatively moderate due to the expensive importation costs for goods and services, as well as the country’s high safety and living standards. 

The absence of direct taxation on foreign personal income, capital gains, inheritance, or wealth can offset these expenses, however. The government has also signed bilateral investment treaties with Germany and the UK, as well as bilateral tax agreements with Denmark, Norway, Sweden, Switzerland, and the UK. There are double taxation agreements in place with the UK and UAE too. Altogether, the country has 22 Tax Information Exchange Agreements. 

Affordable vs Expensive Areas

Within the country itself, costs can also vary significantly depending on the area you’re living in. Urban centers such as St. John's (the capital of Antigua) tend to have higher living expenses, offering convenient access to amenities, businesses, restaurants, and more. Consequently, renting or purchasing a property here can be expensive, and the prices of goods and services can be much higher due to more demand.

On the other hand, less developed areas or rural locations on the islands offer a more affordable lifestyle. Despite being further from the bustling capital, they offer the advantage of lower rent prices and a quieter, more secluded living environment. 

The coastal regions of Antigua, especially those near beaches and resorts, are highly sought after by both tourists and residents, often carrying a premium price. The "big ticket" properties can be found in gated communities or luxury resorts located in the area. 

Areas like Ciudad Vieja and San Miguel Dueñas are also seeing new developments, which provide more affordable investment options for projects still in progress.

Housing and Rent Costs in Antigua and Barbuda

One of the biggest expenses in Antigua and Barbuda is real estate, with property prices experiencing an annual growth rate of about 5% since 2019. This is largely driven by the country’s investment incentives, which promote buying properties as a means to gain citizenship or residency (like the Golden Visa). 

Housing costs in the country are influenced by factors such as location, property type, and proximity to the coast. The average property price for a square meter is $1,680, but modern tourist apartments are currently going for $5,000 to $8,000 per square meter. For prime properties, the average is $5,640, but some luxury homes can go all the way up to $12,560 per square meter 

According to online marketplaces for accommodations, the average rent in Antigua and Barbuda is $460 daily. The minimum is $36 per night to stay in a studio, and the maximum is $920 per day to rent a 4-bedroom villa. Longer-term leases are more affordable, however, with a one-bedroom apartment costing $1,000 per month in the city and $750 per month outside the city. 

Properties that are under development see a 10% to 20% increase in price with each phase of construction that is completed. If you invest at the start of the development, for example, the property’s value could increase by 40% by the time it is done. 

These high property prices – together with the annual growth rate and expected GDP increase – are perfect for investors looking for high returns. Additionally, no tax on rental income and low ownership taxes (0.2% to 0.5% of the property value) translate to further favorable returns. 

Transportation Costs in Antigua and Barbuda

Public transportation in Antigua and Barbuda is limited, with public buses offering one-way rides for $1.40 or monthly passes for $33. This means many residents rely on private taxis to get around or purchase their own vehicles. 

While the cost of a new mid-sized vehicle is comparable to international prices, it's essential to factor in gas prices, import duties, and taxes. 

• A gallon of gas currently costs around $5. Fuel import costs are among the highest in the Caribbean and worldwide, accounting for nearly 13.7% of the country’s GDP.
• Imported vehicles are subject to a 15% value-added tax (VAT).
• A customs duty of around 60% is due, (depending on the car’s cost, insurance, and freight).
• Importers must also pay an Environmental Levy of $1,000 for vehicles under a year old, or $4,000 for older vehicles.

• The islands impose annual vehicle registration fees and insurance costs. 

Groceries and Dining Out Costs in Antigua and Barbuda

The cost of food in Antigua and Barbuda is affected by the importation of goods, as many products are brought in from abroad. This is because the country is too small to scale its local agriculture and manufacturing industries. 

Groceries Costs

Fruits such as bananas, papayas, pineapples, and mangoes are grown locally and tend to be reasonably priced (between $0.70 and $2). Fresh vegetables like tomatoes, cucumbers, and lettuce can also be found at affordable rates, especially if you buy directly from local markets or farmers' stalls (between $0.30 and $2). Basic staples like rice, bread, flour, beans, and milk are also reasonably priced (around $0.50). 

Fresh seafood tends to be more affordable too, compared to many other international destinations. The cost of fish like snapper, mahi-mahi, and tuna is relatively low when compared to other imported proteins such as beef or chicken. Local seafood markets offer a wide variety of fresh fish, and you can expect to pay around $5 to $10 per pound, depending on the type of fish and availability.

According to Numbeo, the daily recommended minimum money you need for food is $14.32. 

Dining Out Costs

When it comes to dining out, Antigua and Barbuda have various options, ranging from casual beachside eateries to upscale restaurants. The cost of dining depends on the type of establishment, the location, and the experience you’re after. 

1. Street Food: Street food vendors are located all over the island, offering local snacks, such as saltfish and fritters, for between $2 and $5. 
2. Casual Dining: Antigua offers many affordable options for those looking to experience local flavors and enjoy a more casual dining experience. Local restaurants often serve Caribbean dishes such as grilled fish or chicken with rice, vegetables, and salad, priced between $10 and $20 per person. 
3. Mid-Range: Often located in or near tourist areas or urban centers, mid-range restaurants offer a selection of international and fusion dishes. For around $20 to $35 per person, you can enjoy a three-course meal at one of these establishments. Prices can vary based on the quality of the food and the ambiance of the restaurant. 
4. Fine Dining: If you are looking for an upscale dining experience, particularly within or around luxury resorts, fine dining options are available. These restaurants typically offer gourmet meals prepared by internationally trained chefs and feature stunning views of the ocean, private beaches, or marinas. They also serve premium wines, seafood platters, and imported steaks that further drive up the price. A full-course meal can cost between $50 and $100 per person. 

It is also important to note that dining costs in tourist-heavy areas of the country, such as Falmouth Harbour, English Harbour, or St. John’s, are generally higher compared to less frequented parts of the island.