17 Amazingly Cheap Places You Should Travel to in 2026

Backpacking the world on $35 a day isn’t a myth. I’ve done it with sand still in my hair, bus tickets stuffed into my pockets, and new friends made over $2 dinners. What follows isn’t theory — it’s the real math of the road. I have done it, I am still doing it.

And yes: the best stories in life do not happen in a fancy resort. They happen with other people - and usually with little to no money.

Every place here was walked, eaten, and slept through by travelers like us. Prices reflect what you’ll actually spend in 2026, not what looks good on a spreadsheet.

Methodology: What a fancy way to get started. Here is how I have created this list of the best cheapest travel destinations in the world. Prices below reflect real hostel listings and on-the-ground travel data as of 2025. All costs are in USD and represent an average backpacker budget (hostel dorms, local food, basic activities, and public transport). Every country listed here has been tested by real travelers — not just search results.

• Asia
• Europe
• Latin America
• Middle East & Africa

Best Cheapest Destinations in Asia

1. Vietnam

• Daily budget: $25–35
• Dorm: $6–11
• Street meal: $1–3
• Overnight bus/train: $10–20
• Best months: October–April (drier, cooler)

Vietnam feels like motion. I once did Hanoi to Saigon on a sleeper bus where everyone looked half-awake and half-broken — and somehow it was the best night’s sleep I’d had in weeks. You pay under ten bucks, stretch out flat, and wake to plastic stools, steam rising from bowls of phở, and coffee so thick you can stand a spoon in it.

Hanoi → Ninh Binh (karst peaks on a rented bike) → Phong Nha (limestone caves that look like sci-fi sets) → Hue (imperial walls and dusty markets) → Hoi An (lanterns, tailors, and cheap beer by the river).

I’d grab a bánh mì for a dollar, wash it down with iced coffee, and still be under budget.

Once in Ha Giang, I joined a hostel motorbike tour and by day two we were eating rice wine with locals who didn’t speak a word of English but made sure our bowls never emptied.

Backpacker moves: get a refillable bottle (free water everywhere), splurge for the “VIP” sleeper berths, and use hostel motorbike loops to find your crew fast.

2. Indonesia

• Daily budget: $25–35
• Dorm: $5–9
• Warung meal: $2–4
• Scooter: $4–7/day
• Best months: May–September (dry)

Indonesia is a patchwork of islands that could each be their own country. Beyond Bali is where it gets real — Java’s volcano dawns, Lombok’s beaches, Flores’ coral gardens. I once rode a scooter through rice fields outside Ubud and stopped at a roadside warung for fried tempeh and sambal that nearly melted my face off. I am still thinking about this moment...it was a very raw travel experience we are all chasing.

In Gili T, I shared a beach bonfire with strangers who became dive buddies by morning. The best part? You can live comfortably for the price of a fast-food meal back home.

Backpacker moves: take a full video of your scooter before renting, carry small bills for petrol kiosks, and stay near night markets — $2 dinners, free people-watching. And yes, inform yourself what the police situation is in your destination.

3. Thailand

• Daily budget: $30–40
• Dorm: $5–10
• Street meal: $1.50–3
• Night train (sleeper): $15–25
• Best months: November–March

Thailand is where every backpacker learns the rhythm. Chiang Mai mornings start with fruit shakes and temple bells, Pai afternoons end in hot springs and laughter. I once took the night train from Bangkok up North — woke up to mist and monks walking barefoot at sunrise.

On Koh Lanta, I found a hostel that served pancakes for breakfast and movie nights when it rained. We spent less than $10 each day, made a family from nothing, and kept bumping into each other weeks later across the islands.

Backpacker moves: take sleepers instead of flights, visit islands midweek, and pick hostels near night markets — you’ll eat like royalty for $2.

4. Laos

• Daily budget: $20–30
• Dorm: $5–8
• Noodle soup: ~$2
• Bicycle: ~$3/day
• Best months: November–February

Laos slows you down. I pedaled through Luang Prabang at dawn, monks collecting alms in orange robes, the air thick with incense and morning fires. It’s a country made for hammocks and river sunsets. A bowl of khao soi, a Beerlao, and the day disappears.

My favorite memory: a group of us hitching a tuk-tuk to Kuang Si Falls before sunrise, swimming alone in blue water while the world was still asleep.

The most iconic way to enter Laos is by taking the Slow boat from Chiang Rai (North Thailand) to Luang Prabang. I spent 4 days in Luang Prabang. What a cuty, raw city. Go asap! It felt like this city won't be a hidden gem for long.

Backpacker moves: skip packaged tours, rent a bike, and chase waterfalls early — it’s the quiet that makes Laos magic.

5. Cambodia

• Daily budget: $25–35
• Dorm: $5–8
• Meal: $2–3
• Bicycle hire: ~$3/day
• Best months: November–March

Siem Reap, Phnom Penh, Kampot — each one feels like a chapter. I cycled through Angkor at dawn once, skipping the crowds at the main gate, just me, a few monks, and ancient stone faces turning gold in the first light. Afterward, I found $2 noodles at a roadside stand and watched the dust glow in the air.

In Kampot, my hostel had hammocks facing the river; sunsets there turned into silent therapy. You meet people, you float, you talk about life — that’s Cambodia.

Backpacker moves: start temple days early, bring a scarf for dress codes, and always pick hostels with pools during the hot months.

6. Nepal

• Daily budget (cities): $30–40
• Dorm: $6–10
• Dal bhat: $2–3
• Teahouse trekking (bed+meals): $8–15/day
• Best months: October–November, March–April

Nepal feels bigger than maps allow. Kathmandu hums, but step into the Himalayas and the world narrows to prayer flags, yak bells, and the sound of your own boots. On the Annapurna Circuit, I shared apple pie by candlelight with trekkers who felt like old friends by morning.

At one teahouse, the owner traced routes on a napkin and told us, “Dal bhat power, 24-hour.” He wasn’t joking — I never hiked hungry again.

Backpacker moves: bring a filter bottle, pack layers not outfits, and buy your trekking poles in Thamel — half the price of home.

7. Sri Lanka

• Daily budget: $30–40
• Dorm: $7–12
• Rice & curry: $2–3
• Train ride (Kandy–Ella): $2–4
• Best months: December–April (south/west), May–September (east coast)

Sri Lanka is everything at once — beaches, tea hills, temples, surf breaks. The train from Kandy to Ella is a $3 rollercoaster of green, hanging out the open doors while locals sell chai and samosas. In Mirissa, I shared a dorm with surfers who swore by sunrise waves and cheap roti. In Ella, my hostel owner made me banana pancakes and strong tea like it was a religion.

My favorite night: lying on the beach in Arugam Bay, the sound of drums from a beach bar mixing with the crash of waves — every traveler barefoot, broke, and happy.

Backpacker moves: use local buses (they’re chaos, but they work), eat at “rice and curry” stalls, and book coastal trains a day early for window seats.

Best Cheapest Destinations in Europe

I may not need to mention that Barcelona, Paris and Amsterdam did not make this list...or the countries you can find these cities in. So where in Europe can we backpack dirt cheap and have an epic time? Here is your answer.

8. Albania

• Daily budget: $35–45
• Dorm: $9–14
• Local meal: $5–8
• Beer: ~$2
• Best months: May–October

Albania is Europe’s open secret. Riviera coves, Ottoman towns, mountain trails — all with prices that make you double-check the receipt. I once hitched a ride along the coast and ended up in someone’s family kitchen drinking raki and eating figs straight from the tree.

Berat feels like time travel, Himarë like a private coastline. Every hostel dinner turns into storytelling; every furgon driver becomes part of your trip.

Backpacker moves: base in Himarë for empty beaches, use hostel dinners to meet people, and carry cash in small towns — ATMs can vanish.

9. Portugal

• Daily budget: $45–60
• Dorm: $18–25
• Meal: $7–12
• Glass of wine: $2–3
• Best months: March–June, September–October

Portugal proves you can stay in Western Europe without going broke. Lisbon’s hostels are half social club, half kitchen experiment. One night in Porto, our hostel cooked bacalhau for everyone — $8 each, and we ended up in a Fado bar hours later singing along to songs we didn’t understand.

Off-season Algarve is a dream: cliffs, blue water, empty trails, and bus tickets that cost less than lunch.

Backpacker moves: ride regional trains, cook twice daily, and surf Ericeira midweek for cheaper boards and fewer crowds.

10. Romania

• Daily budget: $40–50
• Dorm: $10–15
• Bakery lunch: $3–6
• Regional train: $5–12
• Best months: April–October

Romania feels like a fairytale that forgot to raise its prices. In Brașov, I joined a hostel trip to Bran Castle, and our driver handed out homemade plum brandy like it was part of the history tour. We hiked forest trails, ate stuffed cabbage for lunch, and came back broke in lei but rich in stories.

Bucharest surprises with cafés and street art, while Transylvania’s countryside feels untouched.

Backpacker moves: use local trains, join hostel tours, and eat at student canteens — they’re cheap and hearty.

11. Georgia

• Daily budget: $30–40
• Dorm: $8–12
• Khachapuri or local meal: $3–5
• Marshrutka ride: $2–6
• Best months: May–October (for mountains), September–November (for wine season)

Georgia feels like Europe and Asia shaking hands over a glass of homemade wine. Tbilisi’s old town climbs into the hills, balconies draped with vines, while hostels spill into restored houses where breakfast includes cheese bread and local jam. I spent $35 a day and still managed to drink coffee at cafés that could pass for Berlin.

Up in Kazbegi, the mountains make you forget time — I hiked to Gergeti Church through clouds, shared chocolate with strangers, and ended up at a hostel dinner where everyone brought one ingredient and somehow we had a feast.

Backpacker moves: use marshrutkas instead of taxis, bring your own bottle for free wine tastings (yes, really), and head to Svaneti for trails still untouched by crowds.

Best Cheapest Destinations in Latin America

12. Mexico

• Daily budget: $35–50
• Dorm: $10–16
• Street tacos: $0.50–1
• Intercity coach: $15–35
• Best months: November–April

Mexico hums with life — buses on time, plazas alive, food on every corner. Oaxaca, Chiapas, and Guanajuato are where the magic happens. One day I cooked with hostel friends in a shared kitchen, turned a $4 market haul into a feast, and watched the sunset from the roof with mezcal and laughter.

Street tacos at 2 AM, bus rides with mariachi soundtracks, and endless conversations about where to next — that’s backpacking Mexico.

Backpacker moves: use ADO night routes, eat where locals queue, and pick hostels with kitchens and events — they pay off fast.

13. Colombia

• Daily budget: $30–40
• Dorm: $9–15
• Menu del día: $3–5
• Domestic bus: $6–15
• Best months: December–March, July–September

Colombia’s rhythm is contagious. Medellín rooftops, Salento’s coffee hills, and Cartagena’s colors all in one loop. My first night in Bogotá, a free walking tour led me straight to empanadas, a hole-in-the-wall bar, and a cumbia band that refused to stop playing.

It’s one of those places where you say yes to one plan and end up on a bus to somewhere else.

Backpacker moves: fly one leg, bus the rest, and never skip the “menu del día” — it’s the best $3 you’ll spend.

14. Guatemala

• Daily budget: $30–40
• Dorm: $7–11
• Local meal: $2–4
• Chicken bus: $1–3
• Best months: November–April

Guatemala is wild value for adventure. Antigua’s cobblestones, Atitlán’s lake villages, and volcano hikes that make you rethink your life choices. My favorite $40 ever: camping on Acatenango, watching Fuego erupt under the stars, coffee boiling over a gas stove at 4 AM.

Days later, I was in San Pedro eating pancakes with people I’d met on that mountain — that’s how Guatemala works.

Backpacker moves: stay lakeside, book volcano hikes through hostels, and carry small bills for boat rides.

15. Bolivia

• Daily budget: $25–35
• Dorm: $7–10
• Set meal: $2–3
• Uyuni tour (3 days): $100–120 (all-in)
• Best months: May–October

Bolivia is South America’s raw edge — big landscapes, tiny prices. In La Paz, I bought street food that cost less than a coffee and fed me twice. On the Uyuni salt flats, our guide poured us plastic cups of wine as the sky turned into a mirror. We all stood there speechless — five strangers who’d met in a hostel kitchen the week before.

Even with tours, you’ll spend less than most Western cities charge for a night out.

Backpacker moves: prepare for altitude, carry cash outside cities, and book Uyuni through your hostel for fair prices.

Best Cheapest Destinations in Middle East, Africa & Other

16. Morocco

• Daily budget: $30–45
• Dorm: $8–12
• Tagine: $2–4
• Mint tea: ~$0.50
• Best months: March–May, September–November

Morocco is color, spice, and surprise. Marrakech’s chaos gives way to calm riads where rooftop breakfasts cost the price of a snack back home. I did the Sahara on a shoestring once — camels, stars, tajine stew, and the kind of silence that makes you emotional.

In Chefchaouen, I spent an entire afternoon wandering blue alleys with a cat that decided to follow me. The price of peace here? Maybe $35 a day.

Backpacker moves: stay inside the medina for walkability, carry small notes for bargaining, and confirm taxi prices before hopping in.

17. Turkey

• Daily budget: $40–55
• Dorm: $12–18
• Street eats: $3–5
• Local transport: ~$1–2
• Best months: April–June, September–November

Turkey balances ancient and everyday like nowhere else. Istanbul alone could fill your camera roll — ferries, bazaars, sunsets from Galata Tower. In Cappadocia, I stayed in a cave hostel, woke before dawn, and drank coffee as balloons drifted past the terrace. The breakfast was $2, the view priceless.

Down south, Antalya’s coast brings turquoise water and cheap grilled fish, while mountain towns serve feasts for pennies.

Backpacker moves: get an Istanbulkart for cheap transit, eat simit for breakfast, and plan Cappadocia around clear skies.

How to Travel Cheap in 2026

• Travel shoulder season: the week before or after peak can drop hostel prices by 20–40%.
• Sleep while you move: night trains and buses replace a bed and stretch your travel radius.
• Choose value hostels: free breakfast, kitchens, walking tours, or communal dinners always pay off.
• Eat local, often: street food and markets are half the cost and twice the flavor.
• Compare before booking: a few clicks can save what you’ll spend on a night out.

Cheap travel isn’t about sacrifice — it’s about rhythm, timing, and saying yes to the right strangers. These countries prove you can live big on small numbers. If you play it right, 2026 could be the year you realize $35 a day isn’t a limit — it’s a launchpad.

About the author: Matt Kiefer

Hey, I’m Matt, the founder behind Hostelgeeks.com. My team and I are collecting the absolute best hostels in the world for you. We share the coolest hostels so you can focus on your travels, rather than spending your time trying to pick a good hostel.

Personally, I’ve bunked in over 600 hostels and stamped my passport in more than 70 countries. My heart beats for Vietnam, Spain, and France, and so many more destinations. I’m a Foosball champ but a beer pong amateur.

Last but not least: Hostelgeeks is a proud ambassador of Hostelz.com.