Data released by Knight Frank has revealed that a plethora of millionaires based in South Africa left the country for pastures new over the past 12 months. The Wealth Report, which is published fully on Tuesday 2 March, highlights just how many high net-worth individuals (HNWIs) are going ahead with their emigration plans, despite the pandemic.
Knight Frank has also crunched the numbers when it comes to elite financial players in SA. The group has calculated that South Africans need about $180 000, or R2.6 million, to be based in the ‘top 1% wealth bracket’ – a figure that is roughly on par with Vietnam. By comparison, you’d need about $7.9 million to enjoy the same status in Monaco…
This follows a disturbing trend in emigration picked up earlier in February. The Rand Merchant bank estimates that roughly 23 000 people are leaving South Africa each year, but anecdotal evidence from the multi-national claims the real figure is higher: At least 90 000 – 100 000 SA citizens have left the country on a permanent basis since 2016.
Those who have the means to leave Mzansi are becoming increasingly tempted to find a new home, and with an increasing number of millionaires flying the nest, it’s likely to account for a significant shortfall in tax revenue. Around 14% of SA’s HNWIs left the country last year, and Knight Frank laid the facts bare earlier this week: