India is an unequal home to Millionaires

Millionaires in India are expected to rise to 372,000 from the current 245,000 millionaires. The total household wealth is at $5 trillion. It is the fastest growing country in terms of wealth growth, with an increasing inequal wealth spread rate for the country.

India is an unequal home to Millionaires
India is an unequal home to Millionaires

India has an increase of 7.5% annually compared to the global average of 6%. Given the increase in population of 2.2% annually it is a growth which is pretty spectacular.

As of now, India has a wealth growth of $451 billion making it the 8th largest wealth gain in terms of country. However what needs to be taken into consideration is wealth inequality. 92% of the adult population still live below $10,000 per annum.

When examining statistics, India has 1,820 adults over $50 million, and 760 people have over $100 million. Majority of wealth is spread in assets such as properties.  According to the World inequality report 2018, India is the most unequal region after the Middle East.  10% of the super-rich control 55% of the national income of India.

According to the World Inequality report 2018 many countries are following income inequality, with countries like United States, China and Russia broadening very wide.

Most of the reasons for income inequality is seen to be in education qualifications. Due to educational inequalities it is seen to widen. Another factor is the progressive taxes in countries such as United States.

If this inequality is seen to keep rising, 0.1 percent of the world population could own more wealth than the global middle class by 2050.

Looking at previous statistics, India’s 1% population in the national income was just 6.1 % which increased to 21.7% in 2013. Which can be argued on the base of yearly income rising from 313,2009 INR in 1982 to 3,000,000 in recent times.

There is also the fact of public capital (government funds) has gone down while private ownership has increased. Public wealth is close to zero or negative in many developed countries. Therefore inequality is a tough problem to tackle. Reports suggest that not much can be done, and the rich will become richer while the poor will become poorer.