Between 2023 and 2028, India will have the largest growth in the number of Ultra High Net Worth Individuals (UHNWIs) with a net worth of $30 million or more, according to a report released on Wednesday.

According to Knight Frank's flagship research, "The Wealth Report 2024," the number of these ultra-rich in India will increase by 50.1% to 19,908 in 2028, from 13,263 in 2023. India will be followed by China (47%), and Malaysia (35%).

Liam Bailey, global head of research at Knight Frank, told Business Standard that India's strong growth rate is primarily due to its high GDP growth.

"The main reason is the prospects for the Indian economy. We use GDP growth predictions for each of the countries we cover. And the view is that the Indian economy would outperform during the following five years. "That is the primary motivator," he stated.

Bailey went on to say that the country's big diaspora fosters creativity and strong ties to other countries and enterprises.

The survey also stated that Asia will dominate the increase in the number of ultra-rich. In Asia, the number of ultra-rich people is predicted to increase by 38.3 percent during the next five years. Globally, the number of ultra-rich is expected to increase by 28.1%.

Bailey stated that Asia has been a standout location in terms of economic growth during the previous 15 to 20 years. "The center of gravity of the world economy has moved towards Asia and the process is continuing," he told reporters.

Bailey also predicted that Asia will be followed by West Asia and North America in terms of ultra-rich individuals by 2028. 

According to the report, India's UHNWI population increased by 6.1% annually in 2023 compared to the previous year. Globally, the number of UHNWIs increased 4.2 percent to 626,619.

These ultra-rich Indians believe their wealth will increase in 2024.

"90 per cent of Indian UHNWIs are expecting an increase in their wealth this year," according to the research. Approximately 63% of these UHNWIs estimate their wealth to increase by more than 10% by 2024.

Shishir Baijal, chairman and managing director of Knight Frank India, describes India's affluent landscape as "vibrant and dynamic."

"While global uncertainty prevails, easing domestic inflationary risks and the likelihood of rate cuts will further accentuate the growth of the Indian economy, and the reflection of this sentiment is echoed by wealthy Indians," the finance minister added.

The report further stated that among these ultra-rich Indians, Watch was the most chosen investment option in 2023. It was followed by Art and Jewelry.

Notably, according to Knight Frank's Luxury Investment Index 2023, watch prices have risen 138% in the last decade. The price increases for art and jewelry have reached 105% and 37%, respectively.

Globally, the trends vary slightly. The most popular luxury investment has been art, followed by watches and classic cars. Car prices have risen by 82 percent during the last ten years.

"With both domestic and global markets offering significantly higher returns for such items, India's ultra-wealthy are actively pursuing investment opportunities in areas aligned with their passions. The demand for rare collectables is on the rise across different age groups in India, and as wealth continues to grow in the country, we can anticipate further investments in these asset classes," Baijal told a news conference.