With 21,700 dollars in wealth per person, Mauritians are the wealthiest individuals in Africa, whilst people in Zimbabwe are the poorest with 200 dollars per person. This is according to the 2016 Africa Wealth Report, which sees Kenya, Tanzania and Uganda among the top 16 richest African countries.
The report, which ranked the countries by average wealth per person, showed steadfast growth from East Africa. This is the 3rd annual Africa Wealth Report.
It provides a comprehensive review of the wealth sector in Africa, including high-net-worth individual trends, luxury trends and wealth management trends in each country. The report surveyed 20 countries; all of them saw a surge in per capita wealth during the period between 2000 and 2015, apart from Zimbabwe.
Speaking to CNBC Africa, Andrew Amolis, Head of Research at New World Wealth, said that, “we look at average wealth because it’s kind of more relevant to look at what the average person in the country is worth as opposed to what the total wealth in the country is. Some countries have such big populations and that’s the only reason they have a lot of wealth because they have so many people.”
East Africa has definitely seen growth, particularly over the last few years it’s seen much better growth than the rest of Africa. I think a lot of people were expecting the growth to come from West Africa but over the last couple of years the commodity prices and regional problems have damaged those economies quite badly, so a lot of people are looking to East Africa for the growth.”
The success of Mauritius has been attributed to secure ownership rights that have seen a large number of wealthy individuals moving there over the past decade.
“Ownership rights are key to facilitating wealth creation. In Zimbabwe, business owners are unsure as to whether their businesses or property will still belong to them a year down the line, which creates a situation where no one will take the chance of investing in the country," said the report.