The number of ultra-high-net-worth individuals with net assets of $30 million (about 46 billion won) or more is rising in Southeast Asia. Indonesia in particular is emerging as a new hub of wealth, posting a high growth rate.
Nihon Keizai Shimbun (Nikkei) reported Thursday, citing an announcement by British property consultancy Knight Frank, that "Southeast Asian nations accounted for four of the top 10 countries in the growth rate of ultra-high-net-worth individuals holding $30 million or more."
By country, Indonesia ranked highest with an 82% increase, followed by Vietnam in fourth place with a 59% increase, the Philippines in ninth with a 49% increase, and Singapore in 10th with a 46% increase. Thailand also recorded a 26% increase, ranking 17th.
Knight Frank analyzed that "the number of ultra-high-net-worth individuals in these five countries will grow from 16,999 this year to 25,847 by 2031," adding that "this amounts to an average of five new members joining the '$30 million club' each day."
Experts view the strong growth of Indonesia, Southeast Asia's largest economy, as a natural result in particular. Backed by a huge domestic market, Indonesia holds abundant natural resources such as nickel, coal and palm oil, with manufacturing, agriculture, digital finance and real estate industries driving wealth creation.
Sumit Agarwal, a professor at the National University of Singapore Business School, explained: "In Southeast Asia, as industries grow and companies pursue listings, restructuring and foreign capital, the value of assets held by the wealthy is also rising. It is not simply that incomes are increasing—enormous wealth is being created as corporate stakes and stock values surge."
Nikkei reported that "in fact, one Indonesian entrepreneur runs real estate and trading businesses while steadily growing his assets through investment," adding that "he invests 40% of his investment funds in gold and most of the remainder in resource-related stocks, and named initial public offering (IPO) stocks with expected capital gains as promising investment targets."
