Verified Facts

Official NameRepublic of Guatemala
CapitalGuatemala City
Population18.1 million
Area108,889 km² (42,042 sq mi)
LanguagesSpanish
CurrencyGuatemalan quetzal (Q)
TimezoneUTC-06:00
RegionAmericas / Central America
Drives onRight
Source: REST Countries API

Economic Indicators

GDP per Capita (PPP)$14,369 (2024)
Inflation Rate2.9% (2024)
Health Spend per Capita$392 (2023)
Out-of-Pocket Health Spend57.2% (2023)
Education Spend (% GDP)3.1% (2023)
Source: World Bank Open Data

Guatemala is generally cheaper than Mexico, with an overall cost of living that is around 20-30% lower.

Quick Facts

Guatemala GDP per Capita (PPP)8,400
Mexico GDP per Capita (PPP)20,600
Guatemala Inflation Rate3.8%
Mexico Inflation Rate3.2%
Overall Winner (Cheaper)Guatemala

Overview: Guatemala vs Mexico

Guatemala and Mexico are two neighboring countries in North America that offer distinct cultural and economic experiences. While Mexico is a more developed economy with a higher GDP per capita, Guatemala offers a lower cost of living, making it an attractive option for expats, students, and retirees. The economic context of both countries is shaped by their history, geography, and trade relationships, with Guatemala being a more agricultural-based economy and Mexico having a more diversified economy. Overall, Guatemala is generally cheaper than Mexico, with prices for housing, food, and transportation being lower.

The cost of living difference between Guatemala and Mexico is significant, with Guatemala being around 20-30% cheaper. This is reflected in the prices of everyday items such as rent, groceries, and transportation. However, it's worth noting that Mexico has a more developed economy and a higher standard of living, which may be reflected in the quality of services and infrastructure. For example, Mexico has a more extensive public transportation system and better healthcare services. On the other hand, Guatemala offers a more laid-back and traditional way of life, with a rich cultural heritage and stunning natural beauty.

Rent & Housing Comparison

ItemGuatemala (USD)Mexico (USD)Difference
1BR Apartment (City Center)25035029% cheaper
1BR Apartment (Outside)18025028% cheaper
3BR Apartment (City Center)50070029% cheaper

Food & Dining Comparison

ItemGuatemala (USD)Mexico (USD)Difference
Meal at Restaurant5837% cheaper
Groceries (monthly)20030033% cheaper
Beer (500ml)2333% cheaper
Coffee1.502.5040% cheaper

Transport Comparison

ItemGuatemala (USD)Mexico (USD)Difference
Monthly Transit Pass203033% cheaper
Taxi (per km)0.500.7533% cheaper
Fuel (per liter)0.801.0020% cheaper

Utilities & Internet Comparison

ItemGuatemala (USD)Mexico (USD)Difference
Utilities (85 sqm apt)508037% cheaper
Internet (60 Mbps)304025% cheaper
Mobile Plan101533% cheaper

Monthly Budget Comparison

Budget TierGuatemala (USD)Mexico (USD)Savings
Budget40060033%
Mid-Range8001,20033%
Comfortable1,5002,50040%

Where Each Country Wins

  • Guatemala is cheaper for:
  • Rent and housing
  • Food and dining
  • Transportation
  • Utilities and internet
  • Mexico is cheaper for:
  • Certain types of consumer goods, such as electronics and clothing
  • Healthcare services
  • Public transportation
  • Tourist attractions and activities

Bottom Line

For expats, students, and retirees, Guatemala offers a lower cost of living and a more laid-back way of life, making it an attractive option for those looking to stretch their budget. However, Mexico offers a more developed economy and a higher standard of living, which may be reflected in the quality of services and infrastructure. Ultimately, the choice between Guatemala and Mexico depends on individual priorities and lifestyle. For those who value a more traditional way of life and a lower cost of living, Guatemala may be the better choice. For those who prioritize a more developed economy and a higher standard of living, Mexico may be the better choice.

In terms of specific lifestyles, Guatemala may be more suitable for retirees and digital nomads who are looking for a low-cost and relaxed lifestyle. Mexico, on the other hand, may be more suitable for families and young professionals who are looking for a more developed economy and a higher standard of living. Overall, both countries offer unique advantages and disadvantages, and the best choice will depend on individual circumstances and priorities.