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New Delhi, August 5 (G’nY News Service): The changing scenario of the outmigration or exodus of millionaires from the country has been rapidly increasing over the last few decades. According to a joint report by the New World Wealth and LIO Global “India has seen the second biggest outflow of high net worth individuals in last 14 years, with as many as 61,000 millionaires shifting base.” India’s alarming number of changed domicile between 2000 and 2014 is second only to China, which saw an outflow of 91,000 ultra-rich persons in the same period. Notable mentions in the list include Ryuko Hira (Japan), Ananda Krishnan (Malaysia), Kirit and Nishita Shah (Thailand), the Hinduja brothers (United Kingdom).
The report titled “Second Citizenship and the Migration of HNWIs, 2000-2014” and published in July 2015, was carried out by comparing the domicile of a sample of approximately 60,000 global HNWIs in 2000 with the same sample in 2014. The “High Net Worth Individuals’ or HNWIs mentioned in the report refers to millionaires; individuals whose net assets, excluding their primary residences, are equivalent to or more than one million US dollars.
Indian HNWIs, as the report suggests, tend to move more to the UAE, the UK, the US and Australia, whereas the Chinese HNWIs were mainly seen to be inclined towards the US, Hong Kong, Singapore and the UK.
Overall, the United Kingdom was listed as the biggest beneficiary, with the biggest inflow of HNWIs from abroad. The report documents an astounding inflow figure of 1.25 lakh over past 14 years and attributes it to the United Kingdom’s open border policy, ease of buying property in the country, and high outstanding of schooling and universities, among others.
Although Diasporas hold immense potential as instruments of national development, the influence of the current trending outmigration pattern on India’s economy is harrowing. Experts profess that this has not only inversely effected out the home economy but has also resulted in a dip in the Gross national income in our country. The tremendous amount of wealth that India is losing from this exodus is evident from the titanic promotion of NRI investments by the Indian Government.
But this is again interesting to think why most and most of the people are getting convinced of the idea to reside outside the home country, the reason being better life style, tax, security and child education. Although, India has progressed beyond fathomable limits in the last few decades, the quality of life still remains comparatively poor. India still is compelled to be content with shoddy standards of even the basic amenities. Our food safety standards are pity inspiring and we have been conditioned to put up with detrimental hygiene standards. We even do not even have access to safe sources of air and water. The international organization WaterAid, working for water sanitation and hygiene, recently assessed the latest data from the Ministry of Urban Development, Census 2011 and the Central Pollution Control Board to reveal that 80% of the total surface water in India is polluted.
LIO Global’s head Nadia Read, who compiled the report Andrew Amoils, head of research at New World Wealth, divulged that “the main reason people apply for a second residence or citizenship is to ensure freedom of global mobility and access, as well as security and wealth protection for their families.”
Thus, for getting a better future in ones homeland and country, better government policies, better knowhow’s should be properly injected in the nation. A central feature of developing countries is the weakness of institutions. In consequence, leaders and elites have a substantial role in designing and shaping the institutional architecture. This, in turn, means that the ideas shaping the preferences of elites matter a good deal which will subsequently lead towards a better tomorrow for the country’s economy and other socio-economic condition.