India to see 1,000 super-rich individuals joining millionaire club annually

New Delhi: India is home to 2 percent of the world's millionaires and 5 percent of billionaires, which is expected to see an annual addition of 1,000 new super-rich individuals every year in coming decade, says a report.

According to the latest Knight Frank Wealth Report, India houses 2 percent of the world's millionaires (13.6 million) and 5 percent of the world's billionaires (2,024).

Between 2015 and 2016, the country witnessed a 12 percent increase of UHNWIs and this number is expected to grow at 150 percent over the next decade, the report by global property consultancy that tracks the growing super-rich population in 125 cities across 89 countries said.

The number of ultra high net worth individuals (UHNWIs) in India has increased by a whopping 290 percent during the last decade.

"India ranks 6th in terms of growth rate of UHNWIs for 2016. With the current pace, the country is expected to move up to the 3rd spot over the next decade," this year's survey noted, based on responses from almost 900 of the world's leading private bankers and wealth advisors.

In India, in terms of ultra-rich population, Mumbai leads the race with 1,340 UHNWIs, followed by Delhi (680), Kolkata (280) and Hyderabad (260).

Moreover, Mumbai was ranked 21st on the city wealth index ahead of Toronto, Washington DC and Moscow while Delhi was placed at the 35th rank ahead of Bangkok, Seattle, Jakarta.

Out of the 40 global cities, Mumbai was ranked 11 in the 'future wealth' category ahead of Chicago, Sydney, Paris, Seoul and Dubai.

"Over the last 10 years, we have seen annually 500 new UHNWIs being added in India and we expect this number to double to 1,000 every year in coming decade," Samantak Das, Chief Economist and National Director - Research, Knight Frank India, said.

Das further noted that in terms of real estate investment, the wealthy Indians have expressed their top priority in the office segment and logistics also sees a three-fold rise.

"Even though the residential market in India is reeling under pressure, 40 percent of wealthy Indians are likely to invest in residential property in India in the next two years while 25 percent are keen for overseas avenues," Das added.

UHNWIs for the wealth report were defined as those with USD 30 million or more in net assets, according to data provided by New World Wealth for Knight Frank Wealth Report.