The United Arab Emirates (UAE) has solidified its position as a leading destination for German millionaires looking to relocate, ranking among the top 10 preferred countries, according to a recent survey commissioned by investor migration consultancy Arton Capital.
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Growing Appeal of the UAE
The study, which surveyed 1,000 German millionaires aged 18 to 70 with a net worth of at least €1 million, revealed that 11% of respondents are considering moving to the UAE within the next 12 months. The primary factors driving this trend include:
- Safety and Security: The UAE is known for its high levels of safety, a major concern for wealthy individuals.
- Zero Personal Income Tax: Unlike many European countries, the UAE does not impose income tax on individuals, making it a financially attractive option.
- Lucrative Real Estate Market: High-net-worth individuals see strong investment opportunities in the UAE’s real estate sector.
- Stable Business Environment: The UAE offers a geopolitically stable economy, particularly appealing amid economic uncertainties in Germany.
Economic and Political Drivers
Germany’s slowing economy, rising tax burdens, and increasing political instability, including the rise of far-right parties, have prompted many wealthy individuals to seek alternatives abroad. Additionally, economic challenges such as higher energy costs following the Ukraine-Russia conflict have added to the burden on businesses, making relocation an increasingly attractive option.
Armand Arton, CEO of Arton Capital, highlighted this shift, stating, “It has become an interesting new destination in the last five years as we have seen a tremendous amount of investments from Germans to the It. The country offers a safe and prosperous environment where high-net-worth individuals can truly enjoy their wealth.”
UAE’s Growing Reputation for Attracting Millionaires
According to Henley & Partners, the It is expected to see a net inflow of over 6,700 millionaires in 2024, surpassing all other countries. This trend is driven by individuals from India, Africa, Europe, and other Middle Eastern nations, further strengthening the It position as a global wealth hub.
While other destinations such as Switzerland, Monaco, and Singapore also appeal to wealthy individuals, the It stands out due to its simpler tax structure and high standard of living.
Global Competition for High-Net-Worth Individuals
Germany is not alone in witnessing an exodus of millionaires. Other European nations, including the UK and France, have also seen increasing demand for alternative residency and citizenship options among their wealthiest citizens.
Countries such as Canada, Australia, the US, New Zealand, Spain, and the Netherlands have emerged as top destinations for German millionaires seeking relocation after the elections. However, the UAE continues to be a preferred choice, thanks to its favorable economic conditions and attractive lifestyle offerings.
As global competition to attract high-net-worth individuals intensifies, the UAE’s strategic policies and investor-friendly environment position it as a premier destination for the world’s wealthy elite.
