Private wealth in India rose in 2022 even as it fell sharply across the world
By 2027, India, Brazil, the UK, South Korea and China (including Hong Kong and Taiwan) are expected to see the fastest rise in millionaires.
The number of millionaires in India grew annually at the rate of 15 per cent between 2000 and 2022.
New Delhi,UPDATED: Aug 17, 2023 20:01 IST
The weakening of currencies against the US dollar, high inflation, and geopolitical turmoil led to wealth depletion across the world in 2022 — for the first time since the global financial crisis of 2008. During these tough times, however, total net private wealth increased in India, according to the Global Wealth Report 2023 by UBS.
Global wealth fell to US$ 454.4 trillion in 2022 from US$ 466.2 trillion in 2021, a decline of 2.4 per cent. The US took the hardest hit by shedding $5.9 trillion alone, followed by Japan losing $2.5 trillion.
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In contrast, wealth in India rose 4.6 per cent or $675 billion to $15.4 trillion during the same period. Wealth rise in India also happened at a time when the depletion in China and Asia-Pacific together amounted to $3.5 trillion. Surprisingly, wealth rose in Russia even as the country has continued to wage war in Ukraine.
Wealth rise in India has been steady for decades now. Median wealth across individuals grew at an annual rate of 5.9 per cent from $1,153 in 2000 to $1,912 in 2010, $3,299 in 2020, and $4,107 in 2022. However, in the same period, median wealth rose at a pace of 7.4 per cent, 10.9 per cent, and 8.8 per cent in Brazil, China and Russia, respectively.
“The regional composition of the median group changes over time as the more successful members move up the distribution and are replaced by those who are less fortunate. Nowadays, China is less dominant in the vicinity of global median wealth – India has taken its place in this respect,” the report noted.
As far as millionaires are concerned, the United States hosts the maximum number of millionaires around the world – 23 million out of 59 million globally, or almost 40 per cent. However, by 2027, China (including Hong Kong and Taiwan), India, Brazil, the UK, and South Korea are expected to see the fastest rise in millionaires.
The number of millionaires in India grew annually at the rate of 15 per cent between 2000 and 2022. It is expected to grow further at 11 per cent between 2022 and 2027. The fastest rate of millionaires' growth, 26 per cent, was witnessed in China between 2000 and 2022 and it is expected to grow again at the quickest pace globally of 16 per cent till 2027.
