In 2024, Nigeria is anticipated to witness an exodus of approximately 300 high-net-worth individuals (HNWIs) to other countries due to challenges such as insecurity and worsening economic conditions, according to the Henley Private Wealth Migration Report 2024 released on Tuesday.
The report identifies Nigeria’s HNWIs as considering relocation amid concerns about the country’s economic performance, which is described as one of the poorest-performing markets in Africa. Factors contributing to this decline include religious tensions, high crime rates, and currency instability.
Over the past decade, there has been a significant 45% decrease in the number of HNWIs residing in Nigeria, marking it as the worst-performing market in Africa during this period.
Preferred destinations for Nigerian millionaires include the United Arab Emirates, the United Kingdom, South Africa, and various European countries. These locations are favored for their favorable business environments, political stability, and high-quality lifestyles, attracting HNWIs seeking better opportunities and security.
The report notes, “Besides China, the UK, India, South Korea, and Russia, the remaining places in the Top 10 millionaire outflow ranking are taken up by Brazil where a millionaire drain of 800 is projected this year, followed by South Africa (-600), Taiwan (-400), and Vietnam and Nigeria, which are both set to see 300 millionaires take flight.”
Commenting on the global trend of HNWI migration, Misha Glenny, an award-winning journalist and Rector of the Institute for Human Sciences in Vienna, highlights the growth of high-net-worth individuals in Asia compared to Europe. He emphasizes that countries like China, India, South Korea, and Vietnam have seen significant increases in their wealthy populations due to robust economic growth.
Prof. Trevor Williams, former Chief Economist at Lloyds Bank Commercial, echoes this sentiment, noting that developing and emerging economies are forecasted to grow at a faster rate than advanced economies, which will impact the distribution of millionaires and billionaires worldwide.
Overall, the Henley report underscores the ongoing trend of HNWI migration driven by economic opportunities, security concerns, and lifestyle preferences, reshaping global wealth distribution patterns.
