Despite social changes, Saudi Arabia had a net decline in millionaire arrivals last year; however, this is anticipated to change.
A wealth assessment published on Tuesday predicts that the net inflow of millionaires to Israel would decline by 45 percent this year.
Henley & Partners, a London-based investment migration firm, predicts that from 1,100 millionaires arriving in Israel in 2022 to only 600 in 2023, there would be a 45 percent decline in millionaire arrivals.
Jews have historically traveled in large numbers to Israel. Zionism is a part of the “making aliyah” decision, and Israel has long welcomed Jews from the Middle East, former Soviet Republics, and the West.
However, it appears that the considerations of affluent people are being influenced by a far-right government alliance and a vehement domestic dispute over Prime Minister Benjamin Netanyahu’s proposal to reform the nation’s judiciary. Israel’s governor of the central bank claimed in a speech last month that the legal battle caused “a significant domestic shock” to the economy.
The updated forecast comes on the heels of a previous report indicating that an increasing number of Israelis are considering moving their wealth to Greece and possibly uprooting there, in part due to Israel’s legal dispute with its neighbor across the Mediterranean.
Athens-based Israeli real estate expert Dean Farash told MEE that he sees the Israelis’ decision to invest in Greece in preference to Israel as a direct result of the internal conflict. “Today, people with surplus capital are wary of investing in Israel, and they are wary of doing business in Greece.”
The report also provided a rare glimpse into the migration of wealth to Saudi Arabia. Saudi Arabia was the fastest-growing G20 economy last year, amid economic reforms implemented by Crown Prince Mohammed bin Salman and an oil price boom.
A colorful mix of the Persian Gulf
Saudi Arabia appears to be struggling to attract the wealthy, despite the relaxation of conservative welfare laws and the ousting of the country’s religious police to market itself as a luxury tourist destination and business hub. Saudi Arabia saw a net exodus of 600 billionaires in 2022, but that number is expected to drop significantly to 100 this year.
UAE records world’s highest net influx of billionaires in 2022
The UAE enlisted 5,200 tycoon appearances last year, as indicated by Henley and Accomplices, with high total assets people drawn to the Emirates’ low duty guidelines and lavish way of life.
During the pandemic, wealthy entrepreneurs and digital nomads showed a lot of interest in Dubai. In a bid to draw in western expats, Dubai has facilitated social regulations overseeing the acquisition of liquor and living together.
The city has benefited more recently as a result of an influx of wealthy Russians seeking to lessen the impact of sanctions and the wider effects of the war in Ukraine. Dubai became the fourth most active luxury property market in the world, following New York, Los Angeles, and London, thanks to the newcomers.
Through its “golden visa” program, millionaires from India are also contributing to the UAE’s rise in rankings.
The UAE’s economy boomed last year as a result of a rise in energy prices, just like Saudi Arabia’s in the Gulf. Despite their recent decline, it continues to attract western businesspeople and international investors despite the global economy slowing in other areas.
The number of net millionaire arrivals in the UAE is expected to slow to 4,500 in 2023, according to the report.