India is likely to see a heavy outflow of millionaires in 2023 and may lose 6,500 high-net-worth individuals (HNWIs) in the current year, according to the Henley Private Wealth Migration Report 2023. Millionaires or High-Net-Worth Individuals are people with an investable wealth of $1 million or more.
China has been ranked first in terms of the outflow of millionaires, while India ranks second. Despite having a second place, India’s position is likely to improve from last year when the millionaires outflow was 7,500, whereas China can see 13,500 HNWIs leaving the country in the current year.
Andre Amoils, Head Of Research at New World Wealth, said, “These outflows are not particularly concerning as India produces far more new millionaires than it loses to migration.”
According to the CEO of Henley & Partners, Dr. Juerg Steffen- the millionaire’s migration has seen notable growth over the past decade and is expected to see 1,22,000 in 2034 and 1,28,000 in 2024 HNWIs will migrate globally, respectively.
Why Millionaires Are Escaping From India?
According to Sunita Singh-Dalal, Partner, Private Wealth & Family Offices At Hournani, the only reason for leaving the home country and settling abroad is tax legislation and complex rules related to outbound remittance. She stated, “Prohibitive tax legislation coupled with convoluted, complex rules relating to outbound remittances open to misinterpretation and abuse are but a few issues that have triggered the trend of investment migration from India.”
Where Are Millionaires Moving?
According to the reports, Dubai and Singapore are the most preferred choices for millionaires to make their homes. These destinations attract Indians for their government-administered global investors’ Golden Visa Program’, favourable tax environment, robust business ecosystem, and safe & peaceful environment.
The report has predicted that Australia, UAE, Singapore, and the U.S. will witness an inflow of 5,200, 4,500, 3,200, and 2,100 millionaires in 2023. Other countries in the top 10 list are Switzerland, Canada, Greece, France, Portugal, and New Zealand.