FE Today Logo
Search date: 12-09-2018 Return to current date: Click here

Super rich grow exponentially in Bangladesh: Global report

Ultra wealthy surge by over 17 per cent

FE Report | September 12, 2018 00:00:00

The number of ultra rich people in Bangladesh is growing at the fastest rate in the world, said a new global report.

The country of 160 million has seen its ultra wealthy population surge by around 17.3 per cent in between 2012 and 2017, said the latest edition of the Wealth-X World Ultra Wealth Report.

Asian economic giant China, on the other hand, has seen its ultra rich population grow by 13.4 per cent during the same period.

Vietnam, another major emerging Asian economy, has seen an increase of 12.7 per cent in its Ultra High Net Worth (UHNW) population, the third highest increase in the list.

Bangladesh's giant neighbour India, on the other hand, has seen its ultra rich population rise by 10.7 per cent during the same period, the fifth highest increase in the world.

Kenya, Hong Kong, Ireland, Israel, Pakistan and United States are the other names that are among the list of top 10 fastest growing UNHW countries.

Individuals with a net worth above $ 30m has been classified as ultra high net worth while preparing this study, Wealth-X said.

While analysing the reasons for such a startling growth of the ultra rich population in countries like Bangladesh, the report attributed it to the growth of manufacturing, infrastructure investment and rapid urbanisation in these countries.

"The substantial size and above-average net worth of this cohort of ultra wealthy individuals underline the considerable wealth opportunities in Asia's expanding industrial sector, which will continue to gain global market share as its strategic focus steadily shifts to the production of goods higher up the value chain", the report said.

"China, unsurprisingly, is the dominant driver, reflecting its status as the region's largest economy and with industrial activity supported by the government's flagship Belt and Road infrastructure development initiative", it added.

"However, other economies, including Vietnam, Bangladesh and the powerhouse of India, are expanding at a faster pace and experiencing rapid urbanisation, infrastructure investment and manufacturing growth," the report noted.

The Wealth-X report also found that globally, the number of ultra wealthy population has increased by 12.9 per cent to 255,810 individuals. This was a sharp acceleration from a 3.5 per cent growth in 2016.

Asia recorded the most dynamic wealth gains in 2017 with its ultra wealthy population expanding by 18.5 per cent and its collective net worth surging by almost 27 per cent, the report found.

The region's share in the global ultra wealthy population rose to 26.5 per cent, up from around 18 per cent a decade ago.

In order to estimate the ultra wealthy population, its wealth and the top countries and metropolitan and urban areas, the Wealth-X used its regularly updated proprietary Wealth and Investable Assets Model, the report mentioned.

This model produces statistically significant estimates for total private wealth and estimates population by level of wealth and investable assets for the world and each of the top 75 economies, which account for 98 per cent of world GDP.

To profile the ultra wealthy population in greater depth, Wealth-X used its Ultra High Net Worth Database, which, according to the institute, is "the world's most extensive collection of curated research and intelligence on ultra wealthy individuals".

[email protected]

Share if you like