The Cheapest Places to Travel in the World in 2025 and Beyond

This is a terrible year for foreigners to travel to the USA. I can’t advise anyone to do it unless there are family or business reasons. Going the other direction is a different story though. This is a great year to travel abroad for Americans. The strong U.S. dollar has made some “premium” destinations less expensive than before and the cheapest places to travel in the world have gotten even more reasonable. (You might want to make it clear you didn’t vote for the tangerine man though considering how much hate he is generating against the country.)

I’ve mentioned before in this post about popular travel destinations on sale that formerly pricey ones like Japan, South Africa, and Brazil have come down in price thanks to exchange rates. Scandinavia in general will cost you less this year too. 

If you really want to get the best bang for your buck though, the places I profiled in The World’s Cheapest Destinations book are almost all even more of a bargain than they were a couple of years ago. Plus the one I live in, Mexico, has gotten cheaper because the Mexican peso has gone down in value. 

Are you setting out on a round-the-world travel adventure and you want to figure out which destinations will be the cheapest along the way? Or are you planning a vacation to a place where you can easily stretch your budget or travel longer for less?

You could find everything you need to know online if you’re willing to go down every internet rabbit hole, spend weeks on research trying to find the valid sources, and figure out which of the AI results you got were “hallucinations.” Or you could just buy one book and have a well-researched rundown at your fingertips instantly in one place.

Finding the cheapest places to travel in the world takes a lot of experience and research. Most people haven’t spent stretches of time in enough places to really have their finger on the pulse. Plus unless you live and breathe travel news and financial news, it’s hard to keep up with economic factors that impact destinations. Fortunately I do and I’m laying it all out for you every month on this blog, so you get an updated supplement.

Things don’t change dramatically from year to year, so although my book has been through five versions, there are just a few tweaks to which countries are included each time. It has been updated and refined several times since its debut in 2002 though and it is currently in its 5th edition. The World’s Cheapest Destinations: 26 countries where your travel dollars are worth a fortune is out on Amazon around the world and available in bookstores via Ingram Spark. It is also in the Kobo and Apple stores.

I write about the cheapest places to travel a lot on this blog and in other media publications, but I also see a lot of really unreliable and just plain wrong information out there. Many articles you see on the best-known websites are from desk jockey writers who have barely traveled outside of New York City or are on the company dime every time they board a plane. Or you see studies on bargain destinations that are based on the price of 5-star hotels, spa treatments, and cocktails. 

I’ve been to every country in this book, however, some of them multiple times over a span of two decades or more. I know what travelers are spending money on and what matters to their ongoing budget. 

I don’t just sit by the pool at a fancy resort and talk to people on a short vacation either. I take local transportation, stay in independent hotels, eat at bargain restaurants, and take photos of prices in the grocery store. I’ve been doing the same since my first backpacking trip in 1994, so I also have a good sense of what has changed and what hasn’t.

Since I’ve traveled to many of these places with my family or in a small group, I’m also checking out the mid-range vacation budget costs too. It’s not just for those trying to squeak by on $20 a day.

But enough about me. If you’re trying to get the most out of your vacation, your nomad life, or your round-the-world journey this year, I’m here to help you travel well on a budget that won’t break the bank. 

What Has Changed in the Cheapest Travel Destinations

Yes, there’s inflation (which will get worse in 2025), there are pointless trade wars, and there are currency fluctuations. When comparing country to country on a relative basis though, prices often don’t fluctuate that much. So while Thailand may be more or less expensive now than it was in 2019, it still gives you roughly the same discount you would get compared to traveling in Korea or Singapore instead.

Prices go up in the expensive spots too. The Czech Republic is still going to give you much cheaper beers and sausage dinners than Germany, even if the Czechs start dealing with high inflation in Prague all of a sudden.

In some cases though, prices have actually dropped in dollar or euro terms because of exchange rate changes. Malaysia is cheaper now for foreigners than it was before the pandemic. Cambodia is about the same, but Vietnam is a tad cheaper. Laos is about the same but they have a high-speed train traversing the country now, so it’s easier to get around. 

And take Indonesia, for example. It was one of the best deals on the planet when I first went there in the mid-90s and it’s still one of the best values today. Granted, you may not notice that in Bali where development has run rampant and seemingly every major luxury hotel brand in the world has muscled in there during the past decade. It’s still beautiful, but also choked with traffic, running out of water, and more expensive than it was when Ubud was still a sleepy village surrounded by rice paddies.

The thing is, this is a huge country that stretches across a big part of the globe. The first thing you’ll notice when you look at a map is how many islands there are in Indonesia. Big ones, small ones, long ones, and little dots. Some are very crowded, but others have almost no inhabitants. Some of the best snorkeling and diving in the world is here and you can easily find your perfect beach. There’s a distinct culture though, with interesting music and plenty of cultural dance performances.

You see this play out around the world if your home currency has risen in value or the local one has dropped. Egypt is cheaper for travelers than it has been in modern history. Argentina has gone from being a bargain to being expensive to being a bargain to leveling off. It’s still worth going there now, but not the bargain it was three years ago when I was there. 

 

Again though, in relation to its neighbors, the “more bang for your buck” principle still applies. Even when Argentina gets more expensive, it is still a better value than Chile or Uruguay.

If Hungary were to get 20% more expensive tomorrow, it would still cost half of what you pay across the border in Austria. The Bulgarian currency is pegged to the euro, so travel prices in Bulgaria are going to move at roughly the same rate they move in Belgium, staying equally cheaper.

If we don’t have illogical tariffs, new sin taxes, a war, or wild currency fluctuations to deal with, prices rarely shoot up across the board in a space of a few years. Any gradual inflation rises are generally in line with wage increases—apart from oddities like health care, education, and plane tickets. (The latter have actually gotten cheaper on most international routes the past couple years, especially to Asia.)

New Additions to the Cheap Travel Countries List

For those earning dollars, the world will continue to be on sale in 2025. The situation will probably stay that way until the current president runs the economy into the ground and another usurps it. Enjoy it before that happens if you’re American and don’t keep putting it off. 

In 2023 and early 2024 I had to stop talking about Mexico being a travel deal. That was purely because of exchange rate changes. When I first started traveling to Mexico, one dollar got you 10 pesos. Eventually it passed 20, like when I moved here full-time. Then for a variety of macro economic reasons it dropped to between  16 and 17 for a while. Now it’s back up past 20 to the dollar so the country is on sale again. 

Mexico is not the cheapest country in Latin America, but since it’s so close, the bargain airfares (and robust Mexican airlines climate) help make for cheaper vacations than flying all the way to South America or Asia.

I include more countries in Europe in the 5th edition than I used to in the book. It turns out that cheap travel in Europe is not an oxymoron if you pick the right places and/or go at the right time of the year. With infrastructure getting better in some formerly ignored locations, quite a bit has changed this decade. Those previously ignored locations are in the Balkans, the less-visited neighbors of (not cheap) Croatia.

If you’re looking for a terrific travel value in Europe, head to Bulgaria, Albania, Montenegro, and Bosnia. Yes, that sounds like a history lesson trio from last century when three of those were in a war, but the perception of this area still often is in the last century. As a result, you can find prices that are on par with parts of Southeast Asia or Central America, but in a part of Europe filled with history and incredible scenery. So if you’re looking for the cheapest places to travel in Europe, you could land in not-as-cheap Greece then head north, making a bargain line across these countries and then head into the former Iron Curtain ones.

The last addition I made to The World’s Cheapest Destinations is hard to spell, to pronounce, and to find on a map: Kyrgyzstan. I was amazed by what I found there though in the mellow capital city of Bishkek, in Karakol, and while hiking in the incredible mountains for a week. Gear up for Kyrgyzstan and go see what I mean! Everyone I know who has been there has come back raving.

A counterpart you could say the same for is the country of Georgia, which I finally made it to this year. I only put it in the honorable mentions this last go-round, but the Republic of Georgia will definitely make it into edition #6. See this recent rundown on prices in Georgia for travelers and expats. 

The Bargains That Stay That Way

Hey, you don’t have to believe me that this book is worth $10 (Kindle) or $18 (paperback) of your hard-earned money. You can see what real readers have to say when you check out reviews on the Amazon page.

Here are a few “always a bargain” destinations though that have been in every edition of the book. They were a deal in 2002 and they’ll probably be a great travel value in 2032 as well. I don’t know if I’ll still be posting on this Cheapest Destination Blog every week at that point, but keep these in mind if you want to really stretch your travel budget whenever you take off. 

Vietnam, Cambodia, and Laos

I mentioned these briefly in the beginning because they are all great travel values and it’s easy to visit all of them on the same trip since they’re neighbors. It keeps getting easier and easier to get around in Southeast Asia, even as a budget backpacker, thanks to new train connections and more budget flights in the region.  

Then if you’ve still got time after visiting these countries, it’s easy to move on to neighboring Thailand and head down to Malaysia and Indonesia. Hop on a flight and you could spend months in the Philippines as well, all without spending much on transportation. In all of these you’ll have great food, interesting cultures, and interesting things to see. 

Thailand

The country of Thailand doesn’t really need my help in the promotion department. It has become one of the most popular destinations in the world by total visitors and its starring role in the third season of White Lotus won’t hurt either. It was the place we spent the most time in during our three trips around the world as backpackers in the ’90s and I’ve been back twice since. Once with my family, once with just my wife. 

The last time was fairly recently and we spent time in Bangkok, Phuket, and Ko Lanta. You can see my rundown of travel prices in Thailand here and I also put up a video on my YouTube channel if you’d like a break from reading. 

Guatemala

At the end of 2023 I returned to Guatemala and it was my fourth trip there. Obviously I like it. One of these days I’d like to live by Lake Atitlan for a while and maybe then I’ll get around to writing that novel that’s been clanking around in my head for years. It would be nice to do it while taking in the enchanting view every day. 

Guatemala is also a great country for adventures and it’s just below Mexico, so it’s usually inexpensive and easy to fly there or go overland from Chiapas state. I did a whole post on Guatemala vacation prices for travelers, so check that out to get the details. The country’s infrastructure continues to improve each time I’m there and the capital city is downright pleasant now if you’re in a good area. 

This is also the best value for Spanish school immersion classes. Head to Antigua or Xela. 

Peru, Ecuador, and Bolivia

Peru is the South American equivalent of Thailand, flooded with all kinds of tourists from the luxury level on down to shoestring backpackers. While it can be a little pricey on the main package tourist route if you’re watching your Peruvian soles, even Cusco or the Sacred Valley can be a bargain if you’re savvy and once you get away from the hordes visiting Machu Picchu, prices drop quite a bit. 

There are plenty of spots in Peru that most visitors never make it to, so if you go to one of those you’ll find bargain hotels, inexpensive meals, and low admission prices to attractions and museums. 

Ecuador is popular with the moneyed crowd because it has the Galapagos Islands, but that’s tough to do on a budget. There’s plenty to see and do on the mainland though. Ecuador has a high-rise stretch of the Andes Mountains great for hiking and exploring, as well as cloud forests and Amazon jungle. 

Quito is quite a nice city though, one I’ve enjoyed three times now, and plenty of people have visited Cuenca and then decided to move there later. Part of the year there are nice beaches to hang out in and some eternal spring towns in the highlands that stay pleasantly cool. 

All of Bolivia is a bargain since the country only gets a tiny fraction of the visitors of Ecuador and Peru. Its one headliner attraction is the Bolivian Salt Flats of Uyuni, so plenty of people skip the rest of the country. If you don’t, you’ll find this to be one of the best deals in Latin America. 

Egypt and Morocco

These two countries in the north of Africa were a deal when I visited them in the 1990s and they still are today. Egypt is actually cheaper this year than it was then, though for sad reasons. The invasion of Gaza that has led to more than 50,000 civilian deaths there has also killed tourism for the whole region, pyramids or no pyramids. It’s a buyer’s market for anyone who goes. 

Some people who can’t read a map have avoided Morocco too, even though it’s on the other side of the continent. Be smarter than them and explore a fascinating country that is set up well for visitors, with buildings that are a feast for the eyes. The exchange rate doesn’t tend to bounce around much here, so prices stay relatively stable. It’s not backpacker bargain cheap, but a great value for mid-range travelers and really feels like you’ve landed somewhere completely different. 

India and Nepal

I’m putting these together because they’re neighbors and their currencies tend to move in tandem. They also share a lot of cultural similarities and a lot of people in both are Hindus. They also share the Himalayan mountain range, so both have terrific hiking opportunities and gorgeous villages in the mountains. 

Both are also polluted, filled with scammers, and frustrating to travel in though, so often you feel like those bargain prices come with a side order of anxiety. Nepal and southern India are more laid-back, but it’s real work to get around unless you move way up the budget scale. On the other hand, a couple could travel for half the year on $1,000 or less per month with some effort and some of the sights are unforgettable. The lodging prices are too low to believe in some areas outside the big city, especially if it’s not high season. 

I haven’t had a great urge to return to India after spending months there in my younger days, but I have been back to Nepal twice. If you want to get residency somewhere cheap though that will last you for years, India has a great program open to Americans and Canadians that’s a long-term, multi-entry visa. Speaking of living abroad…

Looking for the cheapest places to live instead? Go here then.