Short answer: The cheapest places to travel sit in South Asia, Southeast Asia and the Andes. Price of Travel ranks La Paz, Vientiane and Pokhara at the bottom of its world cost index. Each costs roughly $15 to $19 a day for a backpacker.
Every traveller wants a cheap trip. Few want a cheap trip that turns into a bad one. This guide uses published cost data, so you can pick a destination with real numbers instead of guesses.
Flights are not included in any figure below. Add them separately before you commit.
How we define "cheap"
Price of Travel runs the best-known public cost benchmark, called the Backpacker Index. It builds one standard travel day for each city. That keeps comparisons fair.
Each city's daily total includes:
- One night in the cheapest well-reviewed hostel bunk
- Two public transport rides
- One paid attraction
- Three budget meals
- Three cheap local drinks as an entertainment fund
Prices come from the backpacker end of the market. A private room and sit-down dinners will cost more. For the method, see the Price of Travel world index.
The 10 cheapest cities in the world
Price of Travel ranks 133 cities from cheapest to most expensive. Here are the first ten from its live world index.
| Rank | City | Country | Daily cost (USD) |
|---|---|---|---|
| 1 | La Paz | Bolivia | $15.10 |
| 2 | Vientiane | Laos | $17.75 |
| 3 | Pokhara | Nepal | $18.72 |
| 4 | Luang Prabang | Laos | $19.55 |
| 5 | Ho Chi Minh City | Vietnam | $20.04 |
| 6 | Delhi | India | $20.43 |
| 7 | Kathmandu | Nepal | $20.46 |
| 8 | Hanoi | Vietnam | $20.54 |
| 9 | Hoi An | Vietnam | $20.72 |
| 10 | Jakarta | Indonesia | $22.03 |
Source: Price of Travel. Totals are recalculated with exchange rates, so your visit may show different numbers.
Cheapest places to travel in Asia
Asia dominates the budget rankings. Price of Travel's 2025 Asia index ranks Hanoi fifth among 31 cities at about $20.37 a day. That buys a bunk, street food and a few cheap beers.
Prices climb quickly at the top end of the same list. Here is the spread:
| City | Country | Daily cost (USD) |
|---|---|---|
| Hanoi | Vietnam | $20.37 |
| Jakarta | Indonesia | $24.38 |
| Manila | Philippines | $25.06 |
| Goa | India | $25.15 |
| Phnom Penh | Cambodia | $28.58 |
| Siem Reap | Cambodia | $29.87 |
| Phuket | Thailand | $37.50 |
| Tokyo | Japan | $68.02 |
| Singapore | Singapore | $79.40 |
Source: Price of Travel Asia Backpacker Index for 2025.
Tokyo costs more than three times as much as Hanoi. Pick your country first, then your city.
Phone data adds up fast abroad. Our guide to a Vietnam eSIM shows one way to stay connected without roaming fees.
Cheapest places to travel in Latin America
The Andes give you the lowest prices in the Americas. Price of Travel's 2025 South and Central America index puts La Paz first at $25.44 a day. Quito follows closely.
| City | Country | Daily cost (USD) |
|---|---|---|
| La Paz | Bolivia | $25.44 |
| Quito | Ecuador | $25.76 |
| Cartagena | Colombia | $29.02 |
| Buenos Aires | Argentina | $37.68 |
| Santiago | Chile | $41.43 |
| Rio de Janeiro | Brazil | $43.62 |
| San Jose | Costa Rica | $47.69 |
Source: Price of Travel South and Central America Backpacker Index for 2025. The world table above shows La Paz lower because exchange rates update daily.
Cheapest places to travel in Europe
Europe is pricier, but it has bargains. Statista, citing Price of Travel, lists Kyiv as the cheapest city in the January 2025 European index. War makes it a poor choice for most visitors right now.
Budapest is the realistic pick. It cost under $50 a day in that index, while Zurich cost almost $164.
Europe cost gap at a glance
- Budapest, Hungary: under $50 a day
- Zurich, Switzerland: almost $164 a day
- Gap: more than three times the price for the same standard day
Source: Statista, European Backpacker Price Index 2025 (Price of Travel data, January 2025).
Planning to stay in a hotel instead of a hostel? Read our smart hotel booking guide before you reserve.
Costs the index does not cover
A low daily number is not your total trip cost. The Backpacker Index leaves out several big items. Budget for these before you book:
- Return flights, often your biggest single cost
- Visas and entry fees
- Travel insurance
- Vaccinations and medication
- Airport transfers
- Long-distance buses, trains and domestic flights
Airport transfers catch many people out. Our piece on when to book an airport transfer covers the trade-offs.
10 practical ways to spend less
- Pick the cheap country, then the cheap city. Hanoi and Tokyo sit on the same continent but live in different price worlds.
- Eat where locals eat. Street stalls and market canteens usually cost less than tourist restaurants.
- Sleep in hostels or guesthouses. Dorm beds drive the low index prices.
- Use public transport. The index counts two rides a day for a reason.
- Limit paid attractions. Free parks, markets and walking routes fill many days.
- Stay longer in fewer places. Fewer transfers mean fewer transport fees.
- Check exchange rates. Price of Travel recalculates its totals daily because currencies move.
- Read official travel advice. The UK government's foreign travel advice lists entry rules and safety updates by country.
- Buy insurance before you fly. One medical bill can erase months of savings.
- Track your spending daily. A simple note on your phone beats a surprise at the airport.
Cheap does not mean identical everywhere
Tourist hotspots cost more than quiet towns, even inside a cheap country. Phuket costs $37.50 a day in the index. Hanoi costs $20.37.
Choose a place that fits your trip, not just your wallet. A bargain beach is no bargain if you hate beaches. Browse more ideas on MyFavouritePlaces to match style with budget.
Why price rankings differ between sources
Different sites report different numbers for the same city. That is normal. Each uses its own basket of goods, its own dates and its own exchange rates.
For a wider view of cost differences between countries, the World Bank publishes price comparisons through its International Comparison Program. Use it to see how far one currency goes in another economy.
Frequently asked questions
What is the cheapest place to travel in the world?
In Price of Travel's world index, La Paz in Bolivia ranks cheapest at about $15.10 a day. Vientiane in Laos and Pokhara in Nepal follow. Rankings move with exchange rates.
Is Southeast Asia still cheap in 2025?
Yes. Hanoi costs about $20.37 a day in the 2025 Asia index. Singapore costs about $79.40, so country choice matters.
What is the cheapest place to travel in Europe?
Kyiv topped the January 2025 European index, according to Statista. Budapest is a more practical choice at under $50 a day.
Does the Backpacker Index include flights?
No. It covers a hostel bunk, two transport rides, one attraction, three budget meals and three cheap drinks. Add flights, visas and insurance yourself.
Final thoughts
The cheapest places to travel cluster in South Asia, Southeast Asia and the Andes. Hanoi, Vientiane, Pokhara and La Paz all cost roughly $15 to $21 a day in Price of Travel's data.
Pick a region, check current prices, and add the costs the index leaves out. Then go and eat something delicious from a plastic stool.
Sources
Short answer: The cheapest places to travel sit in South Asia, Southeast Asia and the Andes. Price of Travel ranks La Paz, Vientiane and Pokhara at the bottom of its world cost index. Each costs roughly $15 to $19 a day for a backpacker.
Every traveller wants a cheap trip. Few want a cheap trip that turns into a bad one. This guide uses published cost data, so you can pick a destination with real numbers instead of guesses.
Flights are not included in any figure below. Add them separately before you commit.
How we define "cheap"
Price of Travel runs the best-known public cost benchmark, called the Backpacker Index. It builds one standard travel day for each city. That keeps comparisons fair.
Each city's daily total includes:
- One night in the cheapest well-reviewed hostel bunk
- Two public transport rides
- One paid attraction
- Three budget meals
- Three cheap local drinks as an entertainment fund
Prices come from the backpacker end of the market. A private room and sit-down dinners will cost more. For the method, see the Price of Travel world index.
The 10 cheapest cities in the world
Price of Travel ranks 133 cities from cheapest to most expensive. Here are the first ten from its live world index.
| Rank | City | Country | Daily cost (USD) |
|---|---|---|---|
| 1 | La Paz | Bolivia | $15.10 |
| 2 | Vientiane | Laos | $17.75 |
| 3 | Pokhara | Nepal | $18.72 |
| 4 | Luang Prabang | Laos | $19.55 |
| 5 | Ho Chi Minh City | Vietnam | $20.04 |
| 6 | Delhi | India | $20.43 |
| 7 | Kathmandu | Nepal | $20.46 |
| 8 | Hanoi | Vietnam | $20.54 |
| 9 | Hoi An | Vietnam | $20.72 |
| 10 | Jakarta | Indonesia | $22.03 |
Source: Price of Travel. Totals are recalculated with exchange rates, so your visit may show different numbers.
Cheapest places to travel in Asia
Asia dominates the budget rankings. Price of Travel's 2025 Asia index ranks Hanoi fifth among 31 cities at about $20.37 a day. That buys a bunk, street food and a few cheap beers.
Prices climb quickly at the top end of the same list. Here is the spread:
| City | Country | Daily cost (USD) |
|---|---|---|
| Hanoi | Vietnam | $20.37 |
| Jakarta | Indonesia | $24.38 |
| Manila | Philippines | $25.06 |
| Goa | India | $25.15 |
| Phnom Penh | Cambodia | $28.58 |
| Siem Reap | Cambodia | $29.87 |
| Phuket | Thailand | $37.50 |
| Tokyo | Japan | $68.02 |
| Singapore | Singapore | $79.40 |
Source: Price of Travel Asia Backpacker Index for 2025.
Tokyo costs more than three times as much as Hanoi. Pick your country first, then your city.
Phone data adds up fast abroad. Our guide to a Vietnam eSIM shows one way to stay connected without roaming fees.
Cheapest places to travel in Latin America
The Andes give you the lowest prices in the Americas. Price of Travel's 2025 South and Central America index puts La Paz first at $25.44 a day. Quito follows closely.
| City | Country | Daily cost (USD) |
|---|---|---|
| La Paz | Bolivia | $25.44 |
| Quito | Ecuador | $25.76 |
| Cartagena | Colombia | $29.02 |
| Buenos Aires | Argentina | $37.68 |
| Santiago | Chile | $41.43 |
| Rio de Janeiro | Brazil | $43.62 |
| San Jose | Costa Rica | $47.69 |
Source: Price of Travel South and Central America Backpacker Index for 2025. The world table above shows La Paz lower because exchange rates update daily.
Cheapest places to travel in Europe
Europe is pricier, but it has bargains. Statista, citing Price of Travel, lists Kyiv as the cheapest city in the January 2025 European index. War makes it a poor choice for most visitors right now.
Budapest is the realistic pick. It cost under $50 a day in that index, while Zurich cost almost $164.
Europe cost gap at a glance
- Budapest, Hungary: under $50 a day
- Zurich, Switzerland: almost $164 a day
- Gap: more than three times the price for the same standard day
Source: Statista, European Backpacker Price Index 2025 (Price of Travel data, January 2025).
Planning to stay in a hotel instead of a hostel? Read our smart hotel booking guide before you reserve.
Costs the index does not cover
A low daily number is not your total trip cost. The Backpacker Index leaves out several big items. Budget for these before you book:
- Return flights, often your biggest single cost
- Visas and entry fees
- Travel insurance
- Vaccinations and medication
- Airport transfers
- Long-distance buses, trains and domestic flights
Airport transfers catch many people out. Our piece on when to book an airport transfer covers the trade-offs.
10 practical ways to spend less
- Pick the cheap country, then the cheap city. Hanoi and Tokyo sit on the same continent but live in different price worlds.
- Eat where locals eat. Street stalls and market canteens usually cost less than tourist restaurants.
- Sleep in hostels or guesthouses. Dorm beds drive the low index prices.
- Use public transport. The index counts two rides a day for a reason.
- Limit paid attractions. Free parks, markets and walking routes fill many days.
- Stay longer in fewer places. Fewer transfers mean fewer transport fees.
- Check exchange rates. Price of Travel recalculates its totals daily because currencies move.
- Read official travel advice. The UK government's foreign travel advice lists entry rules and safety updates by country.
- Buy insurance before you fly. One medical bill can erase months of savings.
- Track your spending daily. A simple note on your phone beats a surprise at the airport.
Cheap does not mean identical everywhere
Tourist hotspots cost more than quiet towns, even inside a cheap country. Phuket costs $37.50 a day in the index. Hanoi costs $20.37.
Choose a place that fits your trip, not just your wallet. A bargain beach is no bargain if you hate beaches. Browse more ideas on MyFavouritePlaces to match style with budget.
Why price rankings differ between sources
Different sites report different numbers for the same city. That is normal. Each uses its own basket of goods, its own dates and its own exchange rates.
For a wider view of cost differences between countries, the World Bank publishes price comparisons through its International Comparison Program. Use it to see how far one currency goes in another economy.
Frequently asked questions
What is the cheapest place to travel in the world?
In Price of Travel's world index, La Paz in Bolivia ranks cheapest at about $15.10 a day. Vientiane in Laos and Pokhara in Nepal follow. Rankings move with exchange rates.
Is Southeast Asia still cheap in 2025?
Yes. Hanoi costs about $20.37 a day in the 2025 Asia index. Singapore costs about $79.40, so country choice matters.
What is the cheapest place to travel in Europe?
Kyiv topped the January 2025 European index, according to Statista. Budapest is a more practical choice at under $50 a day.
Does the Backpacker Index include flights?
No. It covers a hostel bunk, two transport rides, one attraction, three budget meals and three cheap drinks. Add flights, visas and insurance yourself.
Final thoughts
The cheapest places to travel cluster in South Asia, Southeast Asia and the Andes. Hanoi, Vientiane, Pokhara and La Paz all cost roughly $15 to $21 a day in Price of Travel's data.
Pick a region, check current prices, and add the costs the index leaves out. Then go and eat something delicious from a plastic stool.
Sources