“Vicki and I recently returned to Argentina after a six-month absence,” writes Intrepid Correspondent Paul Terhorst.

“The seasons are reversed here, and, like the song says, spring is ‘bustin’ out all over.’ We see new leaves on trees, migrant birds returning, more sunshine, better light.

“The Argentine economy is bustin’ out, too, doing very well. We hear a lot about a worldwide recession, but it seems to me that only the United States and a few other countries struggle. During our recent six-month trip to Asia, Vicki and I saw roaring growth. During our time in Thailand, that country was on the verge of a civil war. Yet Thai economic growth will come in at a healthy 9% this year. To keep inflation in check China has successfully slowed its economy, so growth will be ‘only’ 11%.

“In Latin America, we see the same story, including, in some countries, very strong growth rates. The southern cone countries–Argentina, Chile, Uruguay, and Paraguay–all enjoy the high soy and grain prices, along with new tourism from Brazil and the United States.

“Even Europe is doing well, led by Germany’s remarkable boom. Most of Scandinavia and northern Europe also enjoy solid growth.

“For sure, we see pockets of weakness. Japan never really recovered from the 1989 meltdown. Greece, Portugal, and other small European countries, along with Spain, have been hard hit. But the main problem continues to be the United States, now barely sneaking out of recession.

“We used to say that when the U.S. coughs the rest of the world catches cold. To a certain extent that may still be true today. The four BRICs (Brazil, Russia, India, and China) combined barely approach two-thirds of the U.S. economy. The U.S. consumer drives the worldwide export boom. The United States remains a huge factor.

“Still, I see most of Asia, Latin America, and Europe doing well. I went to China twice last year, and, in rural Yunnan province, saw new bridges, dams, roads, and sewers. China long ago learned that there was more to life than making toys for Wal-Mart.

“I was in the United States last month and flew on one of Jet Blue’s Brazilian-made planes. No longer do Boeing and Airbus split the market. I was in India for two months and saw an improved standard of living over what I saw just two years ago, when I was last there.

“I think we can expect the global boom to continue. Even Marxists these days look to trade and foreign investment to help grow their economies. We’ve all gotten hooked on the benefits of globalization.

“The newfound prosperity means locals go out more and travel more. Thai friends who reached their 40s without ever going abroad now travel to Laos, Malaysia, Hong Kong, and Singapore. Two Thai friends even plan to visit Vicki and me in Argentina. We see new restaurants, especially ethnic restaurants, opening in Argentina and India. Now in Buenos Aires and Chiang Mai we have several choices of Mexican places and Chinese food from different parts of China.

“As locals have more fun, Vicki and I do, too. We enjoy the new vitality, ambition, independence, and enthusiasm.

“Tired of the gloom and recession talk in the United States? Travel abroad. You’ll be surrounded by local prosperity. The challenges facing the U.S. will soon recede into a dim memory.”

Live and Invest Overseas’ publisher is Kathleen Peddicord, who’s been writing about expats and expatriation for 25 years. She also publishes a monthly e-zine called the Overseas Retirement Letter (which covers a lot more than just retirement), and is the author of the book, How to Retire Overseas: Everything You Need to Know to Live Well (for Less) Abroad , which I reviewed here.

1. France (was #1 last year as well)
2. Australia (moved up from #5 in 2009)
3. Switzerland (down one spot)
4. Germany (up from the #8 spot in 2009)
5. New Zealand (up from #9)
6. Luxembourg (down from #4)
7. USA (down from #3)
8. Belgium (down from #6)
9. Canada (a big jump up, from #19)
10. Italy (down from #7)

Top Ten Retirement Havens from Live and Invest Overseas

1. Argentina
2. Belize
3. Chile
4. Croatia
5. Dominican Republic
6. France
7. Malaysia
8. Panama
9. Uruguay
10. Vietnam

Mercer’s Best Cities for 2009:

1. Vienna, Austria (1st)
2. Zurich, Switzerland (2nd)
3. Geneva, Switzerland (3rd )
4. Vancouver, Canada (tied 4th)
5. Auckland, New Zealand (tied 4th)

Forbes list of The World’s Most Expensive Cities to Live. According to Forbes, the 10 most expensive cities are:

1. Tokyo, Japan
2. Osaka, Japan
3. Moscow, Russia
4. Geneva, Switzerland
5. Hong Kong, China
6. Zurich, Switzerland
7. Copenhagen, Denmark
8. New York, USA
9. Beijing, China
10. Singapore

2009 Best Retirement Havens, according to International Living:

1. Cuenca, Ecuador
2. Merida, Mexico
3. Coronado, Panama
4. Punta del Este, Uruguay
5. Calitri, Italy

So there you have it. Some highly respected lists from 2009, and one for 2010.

Best wishes for a happy expat New Year!

Panama occupies the top spot, and Peddicord comments that “this country manages to become more appealing all the time.”

Vietnam

Her Top 10 picks include:

1. Panama
2. France “World’s best quality of life, world’s best health care, world’s best infrastructure, world’s most romantic city”
3. Uruguay for “The banking, residency, and tax advantages of Panama without the chaos or the construction dust.”
4. Dominican Republic. “Easy foreign residency, favorable approach to foreign taxation, and, right now, a down real estate market that has created great crisis buy opps”


5. Argentina, which has “the most cosmopolitan city in Central or South America. . . . If you want to live a life filled with art and history, culture and interesting company, but you can’t afford Paris and its euro, look to Buenos Aires.”
6. Malaysia, specifically Kuala Lumpur
7. Chile, a new addition, for beachfront, First World services, and lowest violent crime rate coupled with the highest GDP per capital in Latin America.
8. Belize, “safe stable and English speaking.”
9. Croatia, where “both nature and man have worked together over many centuries to create something very special, almost magical”
10. Vietnam, for its “temptingly low cost of living” and youthful population and energy.

Panama’s placement is no surprise, nor is France’s in the no. 2 spot. Uruguay, Malaysia, Belize, Croatia and Argentina have been in the forefront of expat retirement destinations for several years. Surprise additions — at least to me! — to the list were Chile and Vietnam. While I’ve been aware for several years that Vietnam’s economy was growing, and I’ve had a personal interest in the country, I was surprised to see it emerge on a “Top Ten” list. And, I have to admit, I’m not at all knowledgeable about Chile, although I feel as though I know a reasonable amount about most of the other South American countries.

I will watch the forthcoming information about those two countries with great interest.