Qatar recorded the highest average wealth per adult of $161,700 in the Middle East and North Africa (Mena) in mid-2016, which is far higher than the region’s as well as global average, according to Credit Suisse.
The average wealth per adult in Qatar is much higher than the $13,300 average for the Mena region and $52,800 globally during the review period, Credit Suisse said in its Global Wealth Report 2016.
In the Mena region, the UAE’s average wealth per adult amounted to $151,100. However, both the countries saw a small drop of 0.4% and 0.3% respectively from mid last year.
Kuwait stood third in the region with an average wealth per adult of $119,000, which was up 0.2 % since last year. The average wealth per adult in Bahrain fell by 1.1% from mid last year to $50,600.
The average wealth per adult in Saudi Arabia, the largest economy in the region, also fell 0.6%, to $40,600, while Egypt’s wealth per adult saw a massive drop of 13% to $6,300.
It found that the average wealth in Mena declined 2.6% in the 12 months to mid-2016 to $13,300. However, measured in local currency, wealth increased 2.5%.
The Mena region currently accounts for 5.9% of the world’s adults but just 1.4% of global wealth. The number of adults has expanded 56% since 2000, the highest rate among regions in the report.
The lower segment of the wealth pyramid, adults with net wealth up to $10,000, accounts for 83% of the population. The size of this segment has increased by 49% since 2000 (below population growth), which indicates that the region is gradually becoming more prosperous.
In contrast, the number of adults belonging to the global middle class, with net wealth between $10,000 and $100,000 grew 90% over the same period.
By far the fastest growing segments of the wealth pyramid were the top tiers, as the number of adults with net wealth between $100,000 and $1mn jumped 278% during 2000-16, and the number of millionaires grew by an estimated 330%.
Total household wealth in the Mena region stood at $3.75tn, which was down 0.5% year-on-year compared to 1.4% growth globally.
Saudi Arabia ranked first with an estimated total wealth of $725bn, closely followed by the UAE with $597bn.
Qatar and Kuwait’s total wealth is estimated to be $210bn and $288bn respectively, while Bahrain’s net household wealth is estimated at $31bn and Egypt’s total wealth declined to $351bn this year, having peaked at $511bn in 2010.
Finding that total wealth in the Mena region grew 162% since 2000, well above the global average 119%, Credit Suisse said, “In the next five years household net wealth in the Mena region is expected to increase by a further 53%, or nearly 9% annually.”
Among the global regions, total household wealth in Asia-Pacific recorded the maximum growth of 8.3% and North America by 2%; while Africa witnessed 5% decline, Latin America (4.1%) and Europe (1.7%)