10 Countries With The Highest Average Salary In The World, Up To IDR 120 Million Per Month

Countries with the highest average salary (Freepic)

YOGYAKARTA - As regional boundaries run away, many Indonesians dream of working abroad to get a higher salary. In order for maximum results, job seekers need to know the country with the highest average salary.

This article will review several countries with the highest average salary in the world and compare them with conditions in Indonesia.

According to a report by the CEO of WORLD magazine, a monthly average salary value compared in various countries is obtained to identify countries that pay their workers from the highest salary to the lowest.

The following are the 10 countries with the highest salary in 2024 according to the CEO of WORLD (assuming exchange rate of 1 USD = IDR 14,850):

Also read articles discussing 10 Countries with the Lowest Minimum Wage

Please note, the financial sector, insurance, electricity, mining, information technology, retail, and education offer the highest-paid jobs. On the other hand, administrative support, hospitality, and construction are sectors with the lowest salaries.

However, it is important to consider inflation when comparing salaries in various countries. In recent years, many countries have experienced a high level of inflation that could affect purchasing power.

This inflation rate is largely caused by the pandemic and supply chain disruptions it causes.

In addition, geopolitical risks such as the Russia-Ukraine conflict, the US-China strategic competition, the ongoing conflict in the Middle East, the Indian-China geopolitical competition, and China's economic slowdown.

Reporting from a journal entitled Geopolitical risk, financial constraints, and tax avoidance', external risk factors such as political risks and geopolitical risks are increasingly becoming the attention of companies, market players, and central bank officials because of the potential negative economic impact. significant.

However, it is necessary to distinguish these two types of risk factors because they refer to different risks and lead to different results.

First, political risks define policy uncertainty around monetary policy, fiscal policy, government spending, regulation, and taxation. This uncertainty is also referred to as economic policy uncertainty.

Based on a recent study discussing the impact of the uncertainty of economic policy on the company's behavior and decision-making, it was found that the volatility of the company's specific share returns and planned capital expenditures was greatly influenced by policy uncertainty.

Meanwhile, Julio and Yook (2012) showed that the company reduced investment spending around the election year due to uncertainty surrounding monetary policy and tax policy, as well as potential regulatory changes.

Then the impact of political risks on the company's behavior is also explored, including mergers and acquisitions, capital investments, and corporate-level investments.

Thus, the existence of some geopolitical risks can increase income inequality in the short term, and will exacerbate income inequality in the long term.

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