New Delhi [India], September 17 : The number of Indians earning more than Rs 10 crore annually has surged 63 per cent in last five years, highlighted a report by Centrum Institutional Research.
The report also noted that Indians earning over Rs 5 crore annually have also gone up to to 58,200 individuals marking a 49 per cent growth.
The number of Indians earning over Rs 10 crore annually are now about 31,800 individuals, which is a 63 per cent increase over the last five years.
Furthermore, the number of people earning over Rs 50 lakh annually increased by 25 per cent to nearly 10 lakh individuals during the same period.
"The wealth of rich Indians is growing at a rapid pace; between FY19 and FY24, the number of Indians earning over Rs50mn grew by 49 per cent to 58,200, while those earning over Rs100 mn increased by 63 per cent to around 31,800" said the report.
Along with the growing number of wealthy individuals, the report also highlighted that their cumulative income also experienced rapid growth.
The total income of those earning more than Rs 10 crore surged by an astounding 121 per cent compound annual growth rate (CAGR) between FY19 and FY24, reaching Rs 38 lakh crore.
Similarly, the income of individuals earning over Rs 5 crore saw a 106 per cent CAGR, totalling Rs 40 lakh crore.
The collective income of those earning over Rs 50 lakh per annum grew by 64 per cent, reaching to a total figure of Rs 49 lakh crore in last five years.
"The count of individuals making over Rs 5 mn rose by 25 per cent to around 1mn. Over the same period, total income for those earning more than Rs 50mn soared by 106 per cent to Rs40 tn, for those making over Rs 100mn surged by 121 per cent to Rs38 tn, and for those earning above Rs 5mn climbed by 64 per cent to Rs49 tn" said the report.
The report also projected that the combined financial assets of High Net Worth Individuals (HNI) and Ultra High Net Worth Individuals (UHNI) in India will grow from USD 1.2 trillion in 2023 to USD 2.2 trillion by 2028.
It added "The HNI and UHNI are predicted to expand by 13-14 per cent annually during CY2023-28. Even the mass and affluent markets are anticipated to grow in early double digits".
In addition to this increase in the number of high earners and their income, the report noted that only 15 per cent of financial wealth in India is managed professionally, compared to 75 per cent in more advanced economies.
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