NEW DELHI: India is witnessing a growing trend of capital flight as high-net-worth individuals (HNWIs) increasingly invest in overseas assets and seek residency or citizenship abroad. According to the Henley Private Wealth Migration Report 2025, India is expected to lose 3,500 millionaires this year alone, making it one of the top countries experiencing outflows of wealthy individuals. Affluent investors from tier-2 and tier-3 cities are also buying real estate abroad, especially in Dubai, often for rental yields of 7%–11%.
The migration of millionaires is part of a global realignment of wealth and residency. A record 142,000 HNWIs worldwide may acquire new residencies or citizenship in 2025, rising to 165,000 by 2026. While the UK, China, India, and Russia are among the biggest losers of wealth, the UAE, US, Saudi Arabia, and Italy are seeing huge inflows. The trend reflects a shift as nations compete to attract wealthy individuals through tax advantages, streamlined residency schemes, and quality-of-life.
The outflow of wealthy individuals and their capital from India has deep economic implications. It reduces domestic investment potential, affecting areas such as urban redevelopment, startup funding, and jobs. This capital, if retained, could have contributed to India’s infra, social services, and innovation sectors. The continued migration of wealth also reflects a loss of confidence in the policy, tax structure, and socio-economic predictability.
The UAE, US, and the UK have become magnets for Indian millionaires due to their favourable tax regimes. The UAE, in particular, offers zero personal income tax, administrative ease, and a welcoming Golden Visa scheme—making it the most preferred destination with 9,800 millionaire migrants in 2025. The US draws wealthy Indians via its EB-5 Immigrant Investor Program, while the UK continues to appeal for historical, cultural, and educational reasons. Luxury real estate purchases by Indian billionaires underscore this preference.