6500 millionaires may leave India in 2023 : Around 6,500 super-rich people are expected to leave India in 2023. According to a report by Henley & Partners, an international residence and citizenship advisory firm, the number of people with assets of more than $ 1 million (Rs 8.2 crore) is second only to China in India. Let us inform you that last year in 2022, 7,500 millionaires left India.
But why are so many rich going abroad? And where are they going?
The Indian Express quoted Sunita Singh-Dalal, partner of, the Private Wealth and Family Office, as saying that people are leaving the country because of India’s tax laws, strict remittance rules, and other reasons.
The firm’s group head of private clients, Dominik Volek, told Business Standard there could be other reasons besides security, climate change and even government regulations on crypto.
Juerg Steffen, CEO of Henley & Partners, told Forbes that the departure of millionaires is often a warning sign for authorities. They said, “Wealthy families are highly dynamic, their departure can be a warning for the country’s economic outlook and future.
Which countries will suffer how much
According to the Indian Express, China will suffer a loss of 13,500 HNIs (High Networth Individuals) if millionaires go abroad from China. According to the report, “China continues to lose massive amounts of wealthy people.
Wealth growth has slowed down in the last few years. Due to this, rich people leaving the country will do more damage than before. Let us tell you that China’s Huawei company is banned in big markets like America, the UK, and Australia. This can have a profound effect.
Britain is expected to lose 3,200 HNI and Russia 3,000 HNI.
Where will these Indians leave their country?
According to the report published in First, experts say that most of the Indian millionaires leaving the country can go to countries like Dubai and Singapore. Dubai’s ‘Golden Visa Programme’, its tax laws and business practices are perennial favorites among India’s wealthy, according to Business Standard. According to Forbes, Portugal was a popular destination for the Indian rich till recently.
Before Corona, the most favorite country of millionaires was America.
Forbes quoted the report as saying, “Singapore, Switzerland, and the UAE have built their reputations for not only being a great place to live but also for conserving wealth. These countries have also established themselves as highly attractive business centers. Companies in these countries take advantage of favorable corporate tax rates.
According to a report published in Business Today, countries that see an influx of HNIs almost always allow citizenship through Foreign Direct Investment (FDI).
Will the country be harmed by this?
Andrew Amoils, head of research at New World Wealth, told The Indian Express, “These migrations are not particularly worrying, as India produces far more new millionaires than it emigrates.
Rohit Bhardwaj, director (private clients), Henley & Partners India, told Business Standard that there are around 3,57,000 HNIs left in India. Bhardwaj said India shows a ‘strong wealth presence’.
According to the Ministry of Home Affairs (MHA) data presented in the Lok Sabha in December 2021, 8,81,254 Indians left the country since 2015 for various reasons. This means that 345 people are leaving the country every day since last year.
HNIs are also included in these migrants, who have been renouncing Indian citizenship for many years due to various reasons.
According to the Global Wealth Migration Review, HNI migration also leads to wealth migration. Which is beneficial for the other country i.e. the country where people are going to settle.
If a country is losing a large number of HNIs due to migration, it may be due to serious problems in that country such as high crime rates, lack of business opportunities, and political instability.
According to the data compiled by Global Wealth Migration Review, HNIs prefer to move to other countries:
- Safety for women and children
- Lifestyle: Better Climate, Less Pollution, Nature
- better education for your children
- Work and better business opportunities (ease of doing business)
8.81 lakh Indians gave up citizenship in 7 years
In December 2021, in response to a question in the Lok Sabha, Minister of State for Home Nityanand Rai said that between 1 January 2015 and 21 September 2021, 8,81,254 people had given up their Indian citizenship.
The emigration of educated people from India is the highest
According to the Organization for Economic Co-operation and Development (OECD) report published in February 2020, India has the highest migration in the OECD region. In there are more than 3 million tertiary-educated i.e. migrants studying in a particular profession.
The OECD currently has 38 member countries, including Australia, Canada, France, Germany, the Netherlands, New Zealand, the United Kingdom, and the United States.
As per the OECD report, India was ranked second in the list of main countries of origin for immigrants living in OECD countries in 2015-16. 48 crore migrants from India are living here. Of which more than one-fourth came during the last five years.
A report by the Center for Monitoring Indian Economy has shown that the level of unemployment is increasing with education. From September-December 2018, the unemployment rate among those who completed graduation or higher education (graduation+) reached 13.2 per cent. In 2017, this figure was 12.7 percent.
According to Internationals, a Munich-based global social networking site for expatriate communities, “Indian expatriates are happy with their working hours, where new concepts of work attract these Indians. Better working hours and better work-life balance in Indian abroad are appealing to these Indian expatriates.
This country is also facing the brunt of migration
Countries like the United Kingdom, Russia, and Brazil are also facing an exodus of rich people. 3,200 in the United Kingdom, 3,000 in Russia, and 1,200 in Brazil are expected to leave the country. There is going to be a large number of migrants from Britain this year also because last year 1,600 rich people from there went and settled in some other country.
