The Wealth of Individuals during the Coronavirus Pandemic had seen an increase where the top 10 richest men in the world had earned a lot and increased their net worth during the year 2020. However, in India, the Super Rich has seen a dip in their net worth. Let’s look at the reason for it.
India’s Super Rich – Latest News
According to a report from Credit Suisse, the wealth of India’s super-rich has seen a dip of around 4.4% to USD 12.38 trillion in the year 2020. While the wealth of Mukesh Ambani, Adar Poonawalla, and Gautam Adani had seen a significant rise in their net worth, the overall wealth of the country’s super-rich had seen a fall in their net worth.
Reason Why the Super rich saw a dip in their wealth
One of the major reasons for the dip in the net worth of India’s super-rich is due to the rupee’s fall during the situation of Coronavirus Pandemic in the year 2020. According to the research by Credit Suisse, a research institute, the number of millionaires in terms of dollars had seen a fall of 6,98,000 in the year 2020 from 7,64,000 in the year 2019. This is only due to the fall in the value of the rupee.
The cumulative wealth had fallen to USD 12.38 trillion and saw a decline of around USD 594 billion from the previous year.
Super Rich in India
India is considered to be a home for the Super-rich as around 1% of the global rich are Indians. Even amidst the pandemic, the number had seen a rise of around 5.2 million to reach 56.1 million. AS per the report by 2025, the number of millionaires in India is expected to see a rise to 1.3 million which is around 81.8 % growth.
In the year 2020, every adult Indian had a worth of an average of USD 14,252 in the year 2020 which has seen an annual growth over the years of around 8.8% from the year 2000. India has seen much better growth while compared to the global average that is around 4.8 %.
In India, there were around 4,320 ultra-high net worth individuals who had a net worth that was more than USD 50 million.
Did the Global Wealth got Affected
While looking at the Global Wealth it has seen an increase of around USD 28.7 trillion to reach USD 418.3 trillion. The Wealth had seen a dip in the first quarter of 2020 of around USD 17.5 trillion. As of now, adults require more than USD 1 million to be in the top 1 % which has seen an increase from USD 988,103 in the year 2019.
When it comes to the rich, the Ultra High net worth individuals had seen a growth in their wealth by adding more members to the group. Around 24 Ultra High Net worth individuals were added to the group in the year 2020.
According to the economists from Credit Suisse, the creation of wealth in the year 2020 was largely immune to the challenges that were faced by the world due to certain actions taken by the Government and Central Banks to reduce the impact of the pandemic on the economy.
However, with regards to the transient effect on worldwide business sectors, the pandemic unleashed ruin in the principal quarter of 2020 as $17.5 trillion was lost from complete worldwide family abundance in between January and March of 2020. In any case, by June-end share costs started to take off and it arrived at record levels by year-end.
Eventually, $28.7 trillion was added to worldwide family abundance during the year, taking the total worldwide abundance up by $28.7 trillion to $418.3 trillion, the report said.
Wealth per adult has seen a rise of over 6 % in order to reach another record of USD 79,952. However, it is found that the countries that have been affected the worst from the Coronavirus Pandemic have not been a lot affected in terms of the creation of wealth.
How many millionaires are there in India?
India has around 759 thousand millionaires.
Who is the youngest billionaire in India?
Nikhil Kamath, the co-founder of Zerodha is India's youngest billionaire at the age age of 34.
How many billionaires are in India?
India ranks third in most number of billionaires with 140 billionaires in the country.