Cost of Living in Abu Dhabi: A Guide for Expats in 2025
Abu Dhabi, the capital of the United Arab Emirates, is a city of striking contrasts—where desert landscapes meet futuristic skylines, and rich Emirati culture blends with global influences. For many expats, moving to Abu Dhabi promises professional growth, tax-free salaries, and a high standard of living. But what about the cost of living in Abu Dhabi?
Cost of Living in Abu Dhabi
If you’re planning to relocate to the UAE’s political and cultural hub, this guide breaks down the real costs of living in Abu Dhabi in 2025, from housing and transportation to dining, education, and entertainment.
1. Housing Costs in Abu Dhabi
Accommodation will likely be your biggest monthly expense, and rental prices vary depending on location, size, and type of property.
Average Monthly Rent (as of 2025) | Cost of Living in Abu Dhabi:
| Property Type | Area | Monthly Rent (AED) | USD Equivalent |
| 1-bedroom apartment (city) | Al Reem Island, Al Khalidiyah | 5,000 – 7,500 | $1,360 – $2,040 |
| 1-bedroom apartment (suburb) | Mussafah, Mohammed Bin Zayed City | 3,000 – 4,500 | $820 – $1,225 |
| 2-bedroom apartment | Al Raha Beach, Al Reef | 7,000 – 10,000 | $1,905 – $2,720 |
| Villa (3-4 bedrooms) | Saadiyat Island, Khalifa City A | 12,000 – 20,000+ | $3,270 – $5,450+ |
💡 Tips:
- Most rental contracts require 1-year upfront payment or post-dated cheques.
- Many companies provide a housing allowance, especially for senior-level roles.
- Don’t forget to factor in agency fees (5%) and deposits (5–10%).
2. Transportation and Car Ownership
Public Transport: | Cost of Living in Abu Dhabi
- Bus fare (Hafilat card): AED 2 – AED 5 ($0.55 – $1.35)
- Monthly pass: AED 80 – AED 100 ($22 – $27)
Abu Dhabi’s public transport system is improving, but it’s still limited compared to Dubai. Most residents prefer driving.
Owning a Car | Cost of Living in Abu Dhabi:
| Expense Type | Cost (AED) | USD Equivalent |
| Petrol (per litre) | ~3.00 | $0.82 |
| New car (Toyota Corolla) | 75,000+ | $20,400+ |
| Used car | 20,000 – 60,000 | $5,450 – $16,350 |
| Insurance (annually) | 1,200 – 3,500 | $330 – $950 |
🚖 Taxis are widely available and metered. A typical ride within the city costs AED 12–30 ($3.25–$8.20).
3. Groceries and Daily Essentials
Prices can vary depending on where you shop and whether you choose imported or local brands.
Monthly Grocery Estimate (for a couple): AED 1,500 – 2,500 ($410 – $680)
| Item | Average Price (AED) |
| 1L milk | 6.50 |
| 1kg chicken breast | 22 |
| Loaf of bread | 5 |
| 1kg rice | 8 |
| 12 eggs | 12 |
| 1kg apples | 8 |
| 1.5L bottled water | 2 |
Popular supermarkets include Lulu, Carrefour, Spinneys, and Waitrose.
🛍️ Pro tip: Local markets (souks) offer cheaper fresh produce and spices.
4. Dining Out & Entertainment
Dining in Abu Dhabi can be a luxurious treat or an affordable outing, depending on your choice.
| Meal Type | Price Range (AED) |
| Fast food combo | 25 – 35 |
| Mid-range meal (per person) | 50 – 100 |
| Fine dining (per person) | 200 – 500+ |
| Coffee (café) | 18 – 25 |
| Cinema ticket | 35 – 50 |
| Fitness club membership | 250 – 600/month |
🎭 For entertainment, visit Louvre Abu Dhabi, Yas Island attractions, or Corniche Beach. Many parks and museums have free or low-cost entry.
5. Education & Schooling
For expat families, education is a major consideration. While public schools are for Emiratis, international schools offer world-class education at a price.
Average Annual Tuition | Cost of Living in Abu Dhabi:
| School Level | Cost Range (AED) |
| Nursery | 15,000 – 40,000 |
| Primary (Intl. Schools) | 25,000 – 60,000 |
| Secondary | 35,000 – 75,000+ |
📝 Top international schools:
- The British International School Abu Dhabi
- American Community School of Abu Dhabi
- GEMS Education (various branches)
6. Utilities & Internet
Basic utility bills (electricity, water, cooling) are managed by ADDC or Tabreed.
| Utility Type | Monthly Cost (AED) |
| Electricity & water | 300 – 800 |
| Internet (home Wi-Fi) | 300 – 500 |
| Mobile plan (5GB+) | 100 – 250 |
Etisalat and Du are the main providers, with competitive packages for residents.
7. Healthcare
Healthcare in Abu Dhabi is world-class, with mandatory insurance for all residents.
| Service Type | Cost Estimate |
| GP Consultation | AED 250 – 500 (without insurance) |
| Health Insurance (Basic) | Often covered by employer |
| Medication | AED 50 – 200+ depending on prescription |
🏥 Reputable hospitals: Cleveland Clinic, NMC, Mediclinic, Burjeel Hospital
8. Summary: Estimated Monthly Budget for Expats
| Expense Category | Solo Expat | Couple | Family of 4 |
| Rent (1-2 bed apt) | 5,500 | 8,500 | 12,000+ |
| Utilities & Internet | 500 | 700 | 1,000 |
| Groceries | 1,000 | 2,000 | 3,000 |
| Transport (car or taxi) | 800 | 1,000 | 1,500 |
| Dining & Leisure | 1,000 | 1,500 | 2,500 |
| Schooling (if needed) | N/A | N/A | 6,000+ |
Total (approx.) | Cost of Living in Abu Dhabi:
- Solo Expat: AED 8,800 – 11,000 ($2,400 – $3,000/month)
- Couple: AED 12,000 – 16,000 ($3,270 – $4,350/month)
- Family of 4: AED 20,000 – 30,000+ ($5,450 – $8,170+/month)
Final Thoughts| Cost of Living in Abu Dhabi: Is it Expensive for Expats?
Abu Dhabi isn’t the cheapest place to live, but the quality of life, safety, tax-free income, and modern infrastructure make it incredibly attractive. Costs can be high, especially for housing and education, but with the right job offer and budgeting, it’s possible to live comfortably and save.
Whether you’re moving for work, lifestyle, or adventure, understanding the real cost of living will help you plan smartly and make the most of your life in Abu Dhabi.
