Vietnam’s super-rich population is growing faster than anywhere else

Women walk next to a Louis Vuitton sign as they enter the luxury Trang Tien Plaza shopping mall in Hanoi. Photo by Reuters/Kham
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The country now has 200 people with investable assets of at least $30 million.

Vietnam’s ultra-rich population is growing faster than any economy in the world, and is on track to continue leading the growth in the next decade, based on a new international research.

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The Wealth Report by the U.K.’s independent real estate consultancy Knight Frank found there are 200 ultra high net worth individuals (UHNWI) in Vietnam, who are defined as people with investable assets of at least $30 million, excluding personal assets and property such as a primary residence, collectibles and consumer durables.

UHNWIs are the richest people in the world who control a disproportionate amount of global wealth.

In Vietnam, this super rich group has grown by 320 percent between 2000 and 2006, the fastest in the world compared to India’s 290 percent and China’s 281 percent, the report said.

The number is expected to continue rising to 540, or by 170 percent, in 2026, the highest growth rate in the world. Millionaires in Vietnam are expected to jump to 38,600 from 14,300 over the same period.

vietnams-super-rich-population-is-growing-faster-than-anywhere-else

The world’s top growth rates of ultra-wealthy people over the past decade, and forecasts for the next. Graphics by Knight Frank

Andrew Amoils, Head of Research at the global wealth intelligence and market research firm New World Wealth, highlighted Vietnam as the market whose “stellar” growth rate is set to reinforce “dramatic growth” of the super-rich population in Asia.

“We expect Vietnam’s millionaire numbers to be boosted by strong growth in the local healthcare, manufacturing and financial services sectors,” Amoils was quoted in the report as saying.

It also cited World Bank remarks as describing Vietnamese economy with “remarkable” transformation over the last 25 years, with economic and political reforms translating into higher incomes. The bank has projected Vietnam’s average GDP growth of around 6 percent annually until 2020.

Knight Frank report reflects considerable variation between UHNWIs growth rates in different regions and countries, due to local factors that underpin wealth creation and the mobility of ultra-wealthy people.

The number of ultra-wealthy people is predicted to climb by an average of 12 percent over the next decade in Europe, compared with a forecast 91 percent growth in Asia.

The number of ultra-wealthy people worldwide, which has grown 42 percent over the past decade, is expected to grow another 43 percent to 275,740 in 2020.

-VNExpress

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