- Author: GREAT MASTER VIKRANT ROHIN
- Date: MAY 3, 2023
In 2021, the average wealth of the top 5% of the richest population will be 316,658 USD (equal to 7.8 billion VND).
According to data from the World Inequality Database, the top 5% of the richest persons in Vietnam account for 46.9% of the country’s wealth in 2021, while the top 10% account for 59%. In comparison, the poorest half of the population owns only 5.6% of the wealth.
World Inequality Database
In 2021, the average wealth of the top 5% of the richest population is 316,658 USD (equal to 7.8 billion VND), while the top 10% has 181,132 USD (equivalent to 4.1 billion VND). Meanwhile, the poorest 50% of the population has an average wealth of only 3,429 USD (almost 78 million VND).
World Inequality Database
To be in the top 5% of the population with the largest assets in Vietnam, you need a minimum asset of 112,343 USD (nearly 2.8 billion VND), and to be in the top 10%, you need to have a minimum asset of 61,313 USD (nearly 1.4 billion VND).
However, these numbers may not fully cover all aspects, in the context that the assets of many Vietnamese people exist mainly in the form of real estate.
In developed countries, such as the US or Australia, a database of real estate values by market value will be included in the statistics because they levy taxes on the property’s market value. Therefore, when evaluating total assets, statistical firms will easily calculate asset values that are very close to market prices. In other countries, the increase in house prices will be attributed to irregular income, and people will have to pay taxes on that part of the irregular income. While in Vietnam, no department has quickly updated information about the increase in house prices.
Net worth is the value of all financial and non-financial assets owned minus all outstanding liabilities. Where assets include cash and investments, real estate, cars, or anything else of value that you own.
The rich in Vietnam is forecasted to increase rapidly
According to Knight Frank’s 16th Prosperity Report, the number of the super-rich population (UHNWI) – those with 30 million USD or more – in Vietnam in 2021 is 1,234, down 1% from 1,247 in 2020, and the number of dollar millionaires is 72,135.
The number of super-rich people in Vietnam is forecast to increase by about 26% per year between now and 2026, reaching 1,551. While the number of millionaires in 2026 is expected to be 114,807 people. Thus, in just 4 years, there will be 1 million USD for every 850 people in Vietnam.
Another report, Centi-Millionaire recently published by investment consulting firm Henley & Partners, states that, with an astonishing 95% growth rate, Vietnam is forecast to be the fastest-growing market in the world. The world of millionaires owns 100 million USD or more over the next decade.
According to the report, the number of people with assets of more than 100 million USD will grow strongly in the real estate, technology, and financial services sectors.
Knight Frank’s latest property report estimates that Vietnam’s millionaire growth rate in the 2020-2025 period will be 32%, while the growth rate of super-rich people with total assets over 30 million USD will be 31%.
The number of people with assets worth US$30 million or more in Vietnam will hit more than 1,500 in 2026, according to the 2022 Knight Frank Wealth Report
