Falling rents have pushed Dublin out of the Top 20 Most Expensive Cities.
A new survey ranks Ireland 25 out of 143 cities, down from number 16 last year.
The dollar's recovery along with the fall in rents has made Dublin less expensive to live in.
The Mercer Worldwide Cost of Living Survey (2009), found that it cost an average of $1,800 a month to rent a luxury two-bed apartment in Dublin against $5,930 for the same in Tokyo.
A cup of coffee in Dublin costs an average of $4.20 on average, which is more than in London, Rome, Amsterdam, Madrid or Vancouver, but less than New York where it costs $4.90.