NEW DELHI: Approximately 4,300 millionaires are projected to leave India this year, according to a report by Henley & Partners, an international investment migration advisory firm.
Is it a worrying trend?
India continues to produce high numbers of new high-net-worth individuals (HNWIs) despite a notable number emigrating each year. A significant portion of these millionaires maintain business interests and second homes in India, contributing positively to the local economy.
“However, in our view these outflows are not particularly concerning as India continues to produce far more new HNWIs than it loses to emigration,” the report said.“Furthermore, the bulk of the millionaires who leave India tend to retain business interests and second homes in the country, which is a positive sign.”
This ongoing trend suggests that even with emigration, India’s overall economic and business climate remains attractive to its wealthy residents. Many HNWIs continue to contribute to the nation’s economy through their retained assets and investments, despite their physical relocation.
Majority Indian millionnares opting UAE
“India continues to lose large numbers of millionaires, especially to the UAE,” the report suggested.
Approximately 128,000 of the world’s millionaires are projected to migrate to a new country in 2024, with the UAE and the USA topping the list of destinations. This movement of wealthy individuals is significant as it often reflects broader economic trends and potential issues within the countries losing millionaires.
The businesses started by these millionaires have a notable positive spillover effect on the middle class. Companies such as Microsoft, Apple, and Tesla serve as prime examples. They have created thousands of high-paying jobs in the USA, demonstrating the substantial economic impact that millionaire-led businesses can have.
Millionaire migration figures are also considered important indicators of the economic health of a country, particularly regarding outflow. “If a country is losing large numbers of millionaires to migration, it is probably due to serious problems in that country,” the data suggests. Additionally, this outflow can be a negative sign for the future, as wealthy individuals are often the first to leave when troubles arise.