What comes to your mind when you think of Dubai? It must be the stunning skyscrapers, oil, impossible-looking structures, desert, prince, and Arabs. Most of these things indicate richness; still, Dubai wasn’t anywhere on the list of globally richest cities until now.
However, a recent report by Henley and Partners tells a different story.
It claims that Dubai, Mumbai, and Shenzhen will break into the world’s top 20 wealthiest cities by 2030. Focusing on Dubai, it’s already home to 67,900 millionaires, 202 centi-millionaires (having net assets of $100 million or more), and 13 billionaires.
Transport, real estate, hotels, financial services, oil, and gas are vital industries behind the rapid growth of the country and the main reason why Dubai competes with the world. Also, mega structures like Palm Jumeriah, Burj Al Arab, and Burj Khalifa brought the city’s fame to light and attracted massive tourism.
Dubai currently stands 23rd on the list of globally wealthiest countries. The recent launch of Dubai International Financial Centre (DIFC), a hub that assists family businesses and ultra-high net worth individuals in legacy and succession plans, is expected to bring promising results and help climb the global wealth ladder.
Richest cities are set to receive a tough competition
New World Wealth’s published a report in June this year claiming that the United Arab Emirates is expected to overtake the wealthiest countries, including the US and UK, which attract many millionaires with the most significant inflows globally in 2022.
Another reason behind the such stiff competition is that Dubai has placed itself as an international hub with a high-income economy and a strong stand for being a haven for the Middle East and African region. It attracts business and gives them a fair advantage that supports rapid growth.
With Free trade, a low tax rate, and zero income tax, start-ups and small international businesses find Dubai their favourite spot to operate. If you look around, you will easily find a list of companies that left their country to operate from Dubai because of the ease of business and facilities.
Easy regulations, renowned and luxury lifestyles, high-end homes, villas, and apartments with world-class malls, restaurants, and tourist spots helped the city to bag its position in the list. Continuous improvement in these areas will help them maintain and grow from their recent position.
The city also offers fantastic schooling facilities with beaches, water sports, and other leisure activities that attract those with children.
When Dubai becomes the richest city
Currently, the USA dominates the list with five cities: San Francisco, Los Angeles, Chicago, Houston, and Dallas, under the top 10. The country has 345,600 millionaires, which is much more than Dubai.
Although a city vs. country is not a fair comparison, it certainly highlights that Dubai has tough competition ahead, and making it to the top of the list is a distant dream.
A similar report by Henley and Partners also claims that if Dubai continues to proliferate, the city might break into the top 20 by 2030. It is good news and a solid motivation to compete with big players.
Rankings of other wealthy cities in the race
Mumbai and Shenzhen also find their spot after Dubai at 25th and 30th position, respectively. Both cities also find their fair chances to compete to be on the top.
60,600 millionaires, 243 centi-millionaires, and 30 billionaires already find their homes in Mumbai. Also, the megacity has the Bombay Stock Exchange and National Stock Exchange, and both rank as the world’s tenth most significant stock exchanges by market cap.
Shenzhen is a hi-tech city in China that is also home to 43,600 millionaires and Shenzhen Stock Exchange. It is currently the seventh-largest stock exchange by market capitalization. Major tech giants, including Tencent, ZTE, and Huawei find their headquarters in the city.
There are no predictions of these countries breaking to the top of the list, but they are indeed set to give tough competition if the conditions remain favourable.
Cities that made it to the top 10
The list highlights the top 10 wealthiest cities having the most significant number of millionaires in the world and includes
- New York: 345,600
- Tokyo: 304,900
- San Francisco Bay Area: 276,400
- London: 272,400
- Singapore: 249,800
- Los Angeles & Malibu: 192,400
- Chicago: 160,100
- Houston: 132,600
- Beijing: 131,500
- Shanghai: 130,100
Two Chinese cities, including Beijing and Shanghai, find their recent additions to the top 10 list, which might climb up in the list in upcoming years.
Here is a list of interesting questions people ask on the Internet; please find them below.
1. What makes Dubai a wealthy city?
Dubai is much similar to Hong Kong. It’s located near the busiest sea routes that provide immense transportation benefits. Also, oil, free trade, a low tax rate, and zero income tax are important reasons for making Dubai a wealthy city.
2. Is Dubai the wealthiest city in the world?
Currently, Dubai stands 23rd in the list of wealthiest cities but is predicted to claim its position in the top 20 by 2030. Of course, if conditions remain favourable.
3. What is the reason behind Dubai’s rapid growth?
Commercial maritime activities and Dubai’s position at the entrance/exit of the Persian Gulf make their shipping port among the busiest in the world. Ease in international transportation is the prominent reason behind their rapid growth.
4. How many billionaires and millionaires reside in Dubai?
A recently published report by Henley and Partners reveals Dubai is home to 67,900 millionaires, 202 centi-millionaires, and 13 billionaires. Because of easy regulations, most businesses now find Dubai their favourite spot to operate, and the number of millionaires is expected to grow shortly.
5. Does Dubai’s mega projects support its rapid growth or restrict it?
The country is known for constructing impossible-looking structures that cost colossal money, but the return on investment is always greater. It brings tourism, finance and more opportunities. So, indeed it supports their rapid growth.