Kenya ranked fifth wealthiest in Africa
SEE ALSO :300 tycoons probed over Sh10b land grabNairobi was ranked top 10 wealthiest African cities with a total wealth of Sh5.4 trillion - four places behind the richest city, Johannesburg, with a Sh27.6 trillion fortune. Expensive cities The key drivers in Nairobi included financial services, real estate, and construction, retail, tourism, and telecoms sector. Nairobi was also among the top 10 expensive cities with a square metre of prime property going for Sh190,000. The dollar millionaires in Kenya rose by four per cent from 9,400 in 2016 to 9,600 in 2017, with their biggest spendings being on dining, travel, shopping and recreation.
SEE ALSO :Mount Kenya’s man-made paradiseThe Kenyan wealth has grown by 73 per cent in the last 10 years, and two per cent for the past one year. It is expected to grow by 50 to 80 per cent rates in the next 10 years. The key drivers of wealth growth included low-income tax and company tax rates as well as a free and independent media. About Sh14 trillion of African dollar millionaires’ wealth is tied up with wealth managers and private banks, according to the report. Kenya also maintained its tag as Africa’s second-largest luxury market after South Africa - generating Sh50 billion that covered 17 major markets in the continent. South Africa topped the luxury market, generating a Sh220 billion revenue. “We estimate that the African luxury sector generated approximately Sh600 billion in revenue in 2017. This includes luxury cars, luxury clothing and accessories, luxury watches, private jets, yachts, and luxury hotels and lodges,” said the report sponsored by Mauritius-based AfrAsia Bank.
SEE ALSO :KCB, Nakuru storm into Dala 7s quartersKenya was also tipped as “a most promising” emerging African markets for private banking in the future. The report notes that total individual wealth held in the continent is expected to hit Sh310 trillion by 2027. Countries such as Switzerland and Australia have a wealth per person of over Sh20 million.
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