A report from Credit Suisse showed that the total household wealth of India stands at $5 trillion. India is also home to 2,45,000 millionaires and this number is expected to grow to 372,000 by 2022.
The Credit Suisse Global Wealth Report predicts the total household income to grow by 7.5% year-on-year which will bring the total wealth up to $7.1 trillion by the year 2022. From 2000, even with a population growth of 2.2% per year, India has seen a growth of 9.2% p.a. growth in wealth, a rate that is higher than the 6% global average. Out of the largest wealth gains in the world by country, India ranks 8th with a growth of $451 billion.
Though the wealth has continued to rise, the growth isn’t shared by all citizens. A sizable chunk of the population remains poor, with 92% of the adult population showing wealth of less than $10,000. 0.5% of adults, though just a small portion of the population translates to 4.2 million people, hold a net worth of over $100,000. 0.7%, comprising 3,40,000 individuals, rank among the top 1% of global wealth holders.
The report estimated that 760 adults hold more than $100 million, and 1,820 adults have over $50 million wealth. It was noted that majority of the personal wealth in India is made up of tangible assets and real estate, dominating approximately 86% of the estimated household assets.
The report also highlighted that unlike most developed countries, the estimated personal debt comprises only 9% of gross assets, which is significantly low. Debt is a major problem for the poor people of the country, however, overall household debt as a proportion of assets is much lower than many developed countries.
As per the Credit Suisse Report, Switzerland continues to rank number one among the richest nations in the world in terms of wealth per adult, followed by Australia and the United States of America. While Switzerland holds approximately $537,600 per adult, Australia holds $402,600, and the U.S. holds $388,000.