According to a report by international investment migration advisory firm Henley & Partners, an estimated 4,300 millionaires are set to emigrate from India this year.
According to the Henley Private Wealth Migration Report 2024, India continues to be among the leading countries globally for the departure of high-net-worth individuals (HNWIs). In 2023, approximately 51,000 millionaires exited the country.
Reasons Behind The Departure Of These Millionaires From India?
According to the report, millionaires may relocate for various reasons such as safety, financial factors, tax advantages, retirement opportunities, business prospects, preferred lifestyles, educational options for children, healthcare access, and overall living standards.
Dr. Hannah White OBE, Director and CEO of the Institute for Government in London, suggests that economic and political stability are crucial for retaining high-net-worth individuals (HNWIs).
To Which Destinations Do These Millionaires From India Migrate?
The United Arab Emirates (UAE) ranks as the top destination of choice for Indian millionaires.
‘The report noted that India continues to see significant outflows of millionaires, particularly to the UAE.’
What Are The Reasons Behind This?
The report also projected that in 2024, the UAE is poised to experience a record net influx of 6,700 affluent migrants.
Millionaires are likely drawn to the UAE due to its zero income tax policy, luxurious lifestyle, strategic location, and gold visa programs.
The UAE has seen remarkable growth and advancement in its wealth management ecosystem. In under five years, it has implemented a strong regulatory framework offering affluent individuals a variety of innovative solutions to safeguard, grow, and optimize their wealth.
The emigration of millionaires typically has a notable impact on the country they depart from.
Is This A Cause For Concern?
Andrew Amoils, Head of Research at New World Wealth, emphasized that migrating millionaires are a crucial source of foreign exchange revenue, as they often bring their wealth with them when relocating to another country.
Amoils added, “Around 20 percent of them are entrepreneurs and company founders who may start new businesses and, therefore, create local jobs in their new country. This percentage rises to over 60 percent for centi-millionaires and billionaires.”
Nevertheless, according to the Henley & Partners report, while India experiences an annual outflow of thousands of millionaires, concerns about these departures may be tempered by the fact that the country has seen a significant 85 percent growth in wealth over the past decade. This growth has resulted in the creation of many more new high-net-worth individuals (HNWIs) than those lost to emigration.
Which Countries May Experience Millionaire Emigration?
China, the UK, South Korea, Brazil, South Africa, Taiwan, Vietnam, and Nigeria are expected to experience significant outflows of millionaires. Each country’s unique challenges play a crucial role in shaping their migration patterns for wealthy individuals.
In 2024, experts project an unprecedented 128,000 millionaires worldwide to migrate to new countries, with the UAE and the USA leading as top destinations. This surpasses the previous record of 120,000 set in 2023.
Dominic Volek, Group Head of Private Clients at Henley & Partners, remarked, “This significant migration of millionaires signifies a profound transformation in the global landscape, carrying extensive implications for both the countries of departure and destination.”
Top Destinations For Migration
According to the Henley & Partners report, additional sought-after destinations for migrating millionaires include the United States, Singapore, Canada, and Australia. These countries are anticipated to experience significant net inflows of affluent individuals, which can contribute to economic growth and job creation.
