New Delhi: Over the past two decades, the real per capita financial assets in China have zoomed. This is according to a report by one of the world’s largest, financial insurance and asset managers, the Allianz Group of Germany.

The report says, “purchasing power of average per capita financial assets has increased almost tenfold in China in just 20 years.” The countries, the report goes onto say which are “closest to achieving this level of prosperity are Bulgaria, where real per capita financial assets have increased by a factor of eight, as well as Romania and India, where there has been a fivefold increase.” 

Indian households added to their wealth faster in 2024. Their gross financial assets rising 14.5 per cent during the year, this is a tad higher than the 14.3 per cent growth seen in 2023.

Securities led the charge with a 28.7% increase, while insurance and pensions – holding a larger portfolio share of 32.5% – grew by 19.7%. Bank deposits, still the dominant asset class at 54%, rose by 8.7%, as per the report. 

The New Indian Express analyses that “surging equity play has household wealth rising 14.5 per cent in 2024 but debt has soared 41 per cent.”

Also, wealth inequality remains very sharp, despite this rapid growth. The group of countries in which the share of the top decile has increased comprises 13 countries, and India is amongst them. In 2004, the richest 10% in India controlled 58% of the country’s wealth. Two decades later, their share has climbed to 65%, the report said.

At first glance, globally, concludes the report, “it seems encouraging that average net wealth per capita grew much faster in the lowest deciles than in the two richest deciles. However, given the huge absolute differences between the deciles, even with high growth differentials, a more equal distribution of wealth at the global level remains a distant dream.”

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