Indias rich getting poorer

The economic slowdown,chaos in the global financial services industry and the sharp fall in the stock market have made Indias high networth individuals HNWIs poorer. For the first time in the last seven years,the Indian population of super rich people has dipped by 31.7 per cent from 1,23,000 in 2007 to 84,000 in 2008,according to the 13th annual World Wealth Report unveiled by Merrill Lynch and Capgemini.

The drop in the number of HNWIs individuals with net assets of 1 million,excluding their primary residence and consumables is mainly on account of the extremely distressing market condition during the second half of 2008, said Pradeep Dokania,MD and Head Global Private Client,DSP Merrill Lynch. India,which recorded the highest growth in the number of HNWIs in 2007 has turned the second worst performer in 2008 after Hong Kong, said Dokania. In contrast,Chinas HNWI population dropped by 11.8 per cent to 364,000,edging out UK for the fourth position,and Brazil,with 131,000 moved up third places among 12 countries with the highest concentrations of rich people,Dokania added. With the global market cap dipping nearly 50 per cent in 2008 to 32.6 trillion from 63.4 trillion in 2007,the combined wealth of the worlds HNWIs fell 19.5 per cent to 32.8 trillion.