UAE to Attract 6,700 New Millionaires This Year with Golden Visas and Zero-Income Tax
The UAE is set to attract over 6,700 millionaires in 2024, primarily from India, Russia, and Africa. This influx is driven by the Emirates’ zero income tax, golden visa program, luxurious lifestyle, and excellent connectivity provided by carriers such as Emirates and flydubai, according to the Henley Private Wealth Migration Report 2024 released by Henley and Partners.
For the third consecutive year, the UAE is poised to lead the world in attracting high-net-worth individuals (HNWIs), surpassing its nearest rival, the US, which is expected to see a net inflow of 3,800 millionaires. Wealthy individuals from Europe, particularly the UK, are also relocating to the UAE in significant numbers, drawn by the favorable tax environment and booming real estate market.
Economic Growth and Millionaire Migration
The UAE, ranked 14th globally, is home to 116,500 millionaires, 308 centimillionaires, and 20 billionaires. This growth in the number of wealthy residents is partly due to the UAE’s robust regulatory framework, which has been rapidly developed over the past five years to offer innovative solutions for wealth protection, preservation, and enhancement.
Sunita Singh-Dalal, partner at Hourani in Dubai, highlighted the unprecedented evolution of the UAE’s wealth management ecosystem. She noted that the regulatory framework provides a range of innovative solutions that attract and retain wealthy individuals.
Real Estate and Investment Appeal
The UAE’s real estate market, particularly in Dubai, has seen strong gains, attracting a large number of British and European investors. High taxes in the UK and other Western countries are pushing millionaires to seek tax havens like the UAE, which is also considered one of the safest countries in the world.
Dominic Volek, group head of private clients at Henley and Partners, emphasized the UAE’s strategic efforts to become the world’s top wealth haven. The country offers an attractive golden visa program, luxurious living conditions, and a business-friendly environment in a strategic location.
Global Trends in Wealth Migration
Globally, other top destinations for millionaires include the USA, Singapore, Canada, Australia, Italy, Switzerland, Greece, Portugal, and Japan. Meanwhile, countries like China, the UK, India, South Korea, Russia, Brazil, South Africa, Taiwan, Nigeria, and Vietnam are expected to see the highest net outflow of millionaires in 2024.
Misha Glenny, Rector of the Institute for Human Sciences in Vienna, noted that the UAE’s appeal to high-net-worth individuals is not new. He highlighted that the UAE is projected to attract nearly twice as many incoming investors as the USA in 2024, with significant inflows from Russia and India due to longstanding economic ties.
Benefits of Wealth Migration
Andrew Amoils, head of research at New World Wealth, pointed out the significant and wide-ranging benefits of this migration of wealth and talent. He noted that migrating millionaires are a vital source of foreign exchange revenue, as they tend to bring their money with them. Additionally, around 20% of these millionaires are entrepreneurs and company founders who may start new businesses and create local jobs. This percentage rises to over 60% for centimillionaires and billionaires.
In summary, the UAE’s strategic initiatives, favorable tax policies, and luxurious lifestyle continue to make it a top destination for high-net-worth individuals worldwide, cementing its status as a dynamic global wealth magnet.
