Dubai: Saudi Arabia is expecting a 105 per cent surge in the average wealth per person in the next decade leading to an anticipated increase in the number of millionaires.
Henley & Partners’ BRICS Wealth Report revealed that the Kingdom ranks sixth within the bloc in terms of high-net-worth individuals.
The report showed that Saudi Arabia currently hosts 58,300 millionaires, including 195 centi-millionaires- individuals with assets exceeding $100 million (Dh367 million), and 22 billionaires, marking a 32 per cent increase since 2013.
Another report by Britain’s Knight Frank real estate consultants showed that the number of millionaires in Saudi Arabia is expected to reach 185,325 in 2027, after the Kingdom’s 9.6 per cent increase in the number of millionaires in 2022.
Factors driving Saudi wealth accumulation
The expected growth in wealth is a result of Saudi’s Vision 2030- a plan to diversify the economy away from oil, which is leading to an increase in investments in tourism, entertainment, and technology, creating new wealth opportunities.
Economic reforms in the Saudi market, such as the opening of the stock market to international investors is making the country more attractive to foreign investment.
Potential effects of increase in wealth
An increase in the number of millionaires will lead to more investments in domestic projects and startups encouraging economic diversification as a result.
Social and culture implications could be present; shifts in consumer behavior, lifestyle choices could potentially influence the socio-economic landscape of the Kingdom.