          Indian HNIs seeking greener pastures In recent years there has been a steady rise in the number of High net-worth individuals (HNIs) moving outside India. 

          Indian HNIs seeking greener pastures

 In recent years there has been a steady rise in the number of High net-worth individuals (

s) moving outside India. In 2022, the number of HNIs moving outside India was estimated at 

India was third in terms of HNIs leaving the country -- with Russia and China witnessing a higher 

 of wealthy individuals. While over the past decade, there has been a yearning amongst many Indians to seek greener pastures, in the aftermath of the covid10 pandemic, this trend has only increased.

       Should the trend of HNIs moving outside India be viewed with pessimism?

  It would be pertinent to point out, that HNIs moving out of India account for 2% of total HNIs which is estimated at 

. The reasons cited for HNIs moving out are 

; business opportunities, better quality of life especially in terms of health and educational facilities, the desire to get a more competitive passport and lower taxation rates. It has been argued that this trend should not be viewed with scepticism since in a globalized an interconnected world mobility is an important component.  Many HNIs while seeking greener pastures have a firm belief in India’s bright future and view having a presence outside India as a means of expanding economic horizons. Many argue that the trend of HNIs moving outside India could slowdown, given that economic opportunities in India are only likely to rise, and that living standards and infrastructure are likely to further improve in the near future.

Popular destinations for HNIs, from India and other parts of the world, are 

 and in recent years EU countries – Portugal, Spain and Greece have also emerged as attractive destinations. The pre-condition for securing residency rights or a ‘Golden Visa’, referred to as 

 is investing a minimum amount in real estate. In Portugal to be eligible for a ‘Golden Visa’, HNIs need to invest 

 HNIs have been using the Golden Visa for getting long term residency in UAE (10 years), while in countries like Portugal, Greece and Spain individuals on Golden Visas get not just residency rights but can 

  Golden Visas for western countries becoming tougher

With an eye on checking real estate prices, 

 has ended the Golden Visa program (this does not include individuals who already hold a Golden Visa). Before this Ireland had suspended the Golden Visa with the objective of preventing economic offences. Portugal had introduced this program over a decade ago and has been able to generate 

 Greece has announced that it will double the amount required for being eligible for a Golden visa from May 2023. While the earlier amount for being eligible for a Golden Visa was  €250,000, it will now be doubled to  

 How the UAE is likely to benefit from these changes

The UAE is likely to be a major beneficiary of these recent policy changes introduced by Ireland, Portugal and Greece. For being eligible for a UAE golden visa, investors need to invest 2 Million Dirhams in the country’s real estate sector. It would be pertinent to point out, that in recent years the UAE has been seeking to attract  not just wealthy investors, but 

entrepreneurs, innovators, students, artists and philanthropists

Why UAE could be especially attractive for Indian HNIs

Apart from the less stringent conditions required for securing a “Golden Visa”, UAE possesses several other advantages for Indian HNIs. The first is its proximity to India and its air connectivity with different parts of India. UAE was one of the first countries not just to resume air connectivity with India -- in the aftermath of covid19 -- but also to remove travel restrictions. Second, the UAE 

 is likely to fare well in the short term. Third, for several individuals the fact that UAE has schools and higher educational institutions of repute (including western campuses) is attractive. Finally, many Indians in the west who are uncertain about their future in the west – especially UK and USA -- are likely to invest in UAE’s real estate sector, and even explore business opportunities in the Gulf nation. UAE apart from its geographical location offers an excellent standard of living and world class infrastructure which makes it an attractive destination for expats.

 In conclusion, the UAE has been seeking to attract the best entrepreneurial and innovative minds from different parts of the world in order to achieve its long-term economic vision. With western nations either closing the “Golden Visa program” or making it more expensive the UAE is likely to be the biggest beneficiary.

UAE's Golden Visa Program and Indian HNIs

7 Comments