The report reveals that Africa’s ‘Big 5’ private wealth markets — South Africa, Egypt, Nigeria, Morocco, and Kenya — together account for over 50% of the continent’s total wealth. There are currently 136,000 high-net-worth individuals (HNWIs) with private wealth of USD 1 million or more living in Africa, along with 305 centi-millionaires with USD 100 million or more, and 21 US dollar billionaires. South Africa is home to over twice as many HNWIs as any other African country, while Egypt now has the most billionaires. Mauritius has the highest wealth per capita in Africa, at USD 34,500, followed by South Africa at USD 10,970 and Namibia at USD 9,320.
The Africa Wealth Report is the continent’s annual benchmark for private wealth research and is now in its 7th year, providing a comprehensive review of the wealth sector in Africa, including trends among HNWIs, the luxury market, and wealth management. Andrew Amoils, Head of Research at New World Wealth, says “Africa is home to some of the world’s fastest growing markets, including Rwanda, Uganda, and Mauritius. We forecast private wealth growth of over 60% in all three countries in the next decade, driven by especially strong performance in the technology and professional services sectors.”
Dominic Volek, Head of Private Clients at Henley & Partners, adds that there are already well-established wealth hubs on the continent, including South Africa, Egypt, and Morocco. “Strong growth in private wealth of over 50% is also predicted in Kenya, Morocco, Mozambique, and Zambia over the next 10 years. HNWIs in Africa are extremely mobile and their movements provide valuable insights into future economic trends in each country.”
Mauritius is the fastest growing wealth market in Africa, with projected growth of 80% over the next decade. This will also make it one of the fastest growing high-income markets in the world, together with Australia, Malta, New Zealand, and Switzerland. Africa’s two wealthiest cities are in South Africa — Johannesburg is the wealthiest, with total private wealth of USD 239 billion, while Cape Town in second place has USD 131 billion. Cairo follows closely behind with USD 128 billion, and Lagos is in 4th position with USD 97 billion in privately held wealth.
Commenting in the report, international entrepreneur, author, and CEO of MyGrowthFund Venture Partners Vusi Thembekwayo, says the ascent of new wealth economies, along with megacities and the diversification of wealth-creating sources are just some of the exciting trends driving the creation and flow of capital across the continent. “Africa’s story is one of polar domination, with the largest wealth management centers traditionally situated in the most extreme south — South Africa — and the most extreme north — Egypt and Morocco. The rise of frontier economies that are attracting new wealth by positioning themselves as preferred investment destinations is challenging this narrative. Mauritius and the Seychelles have recently been the most deliberate with this strategy.”
Despite a tough decade, South Africa still ranks 28th in the world when it comes to total private wealth, ahead of major economies such as Argentina, Malaysia, Thailand, and Turkey. It’s also the largest luxury market in Africa by revenue, making USD 2 billion annually.