Henley Private Wealth Migration Report 2023, India to Experience Millionaire Exodus, Anticipated Loss of 6,500 HNWIs
According to the Henley Private Wealth Migration Report 2023, which monitors global wealth and investment migration trends, India is expected to witness a significant departure of millionaires, potentially resulting in a loss of 6,500 high-net-worth individuals (HNWIs) in 2023. The report reveals that China tops the list in terms of millionaire outflow, projected to lose 13,500 HNWIs, with India securing the second position. However, despite being ranked second, India’s situation has improved compared to the previous year’s outflow of 7,500 millionaires. Andrew Amoils, Head of Research at New World Wealth, reassures that this exodus should not be overly concerning, as India continues to generate a higher number of new millionaires than it loses to migration.
Henley and Partners define millionaires or HNWIs as individuals possessing investable wealth amounting to $1 million or more. Dr. Juerg Steffen, CEO of Henley & Partners, notes that millionaire migration has been steadily increasing over the past decade, with an estimated 122,000 and 128,000 millionaires predicted to migrate globally in 2023 and 2024, respectively.
The report highlights the reasons behind the migration from India, citing factors such as prohibitive tax legislation, complex regulations concerning outbound remittances prone to misinterpretation and misuse, among other issues. Sunita Singh-Dalal, Partner at Hourani, specializing in Private Wealth & Family Offices, supports this observation, attributing the trend of investment migration from India to these factors.
Dubai and Singapore continue to be preferred destinations for affluent Indian families. Dubai, often referred to as the “5th City of India,” entices them with its government-administered global investor “Golden Visa” program, favorable tax environment, robust business ecosystem, and secure and peaceful surroundings.
According to the report, Australia is projected to witness the highest net inflow of millionaires in 2023, with 5,200 expected to migrate. The UAE, which experienced a record-breaking influx of HNWIs in 2022, will welcome 4,500 new millionaires this year. Singapore is anticipated to have a net inflow of 3,200 HNWIs in 2023, while the US is set to add 2,100 individuals to its millionaire club. Other countries making the Top 10 list for net HNWI inflows include Switzerland, Canada, Greece, France, Portugal, and New Zealand.