India is expected to see a decline in the net outflow of high-net-worth individuals (HNWIs) in 2023, according to the Henley Private Wealth Migration Report 2023.
The report, which tracks global wealth and investment migration trends, reveals that India is projected to have a net outflow of 6,500 HNWIs in the year.
India To See Decline in Net Outflow of High Net Worth Individuals in 2023
Although India ranks as the second-largest country in terms of HNWI outflow globally, following China with a net loss of 13,500, there is a slight improvement compared to the previous year’s net outflow of 7,500 millionaires.
The report, based on forecasts by New World Wealth, a global wealth intelligence firm, provides valuable insights into the movement of millionaires worldwide. In addition to India and China, the United Kingdom and Russia are ranked third and fourth, respectively, with net outflows of 3,200 and 3,000 HNWIs.
While the outflow of HNWIs from India is noteworthy, experts believe that it should not be a significant cause for concern. New World Wealth predicts an 80% increase in the high-net-worth individual population in India by 2031, positioning the country as one of the fastest-growing wealth markets in the world.
What Causes This Growth?
This anticipated growth is expected to be driven by the thriving financial services, healthcare, and technology sectors within India. As the standard of living continues to improve, there is also a discernible trend of affluent individuals returning to the country. The report foresees a substantial influx of wealthy individuals moving back to India in larger numbers.
During the first quarter of 2023, Henley & Partners recorded a substantial increase in inquiries related to investment migration programs. Compared to the previous quarter, there was a 36% rise, and it was 47% higher than the same period in 2022, which itself was a record-breaking year.
Indians and Americans are the top two nationalities driving this demand for investment migration programs. British and South African individuals have consistently ranked among the top 10 for the past five years.
The Henley Private Wealth Migration Report 2023 relies on data sourced from New World Wealth, a trusted global wealth intelligence firm with extensive experience in tracking wealth migration trends. The report specifically focuses on HNWIs who have relocated and reside in their new country for more than six months a year.
