Why Nairobi Has The Most Millionaires In East Africa

This is according to a report by the New World Wealth and Henley & Partners which takes note of private wealth migration trends across the globe.

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Sep 14, 2022 - 09:00
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Why Nairobi Has The Most Millionaires In East Africa
An image of Nairobi's skyline. /FILE

Nairobi, the capital city of Kenya, has been ranked 5th in Africa with the most number of millionaires, and the country with the highest number of millionaires in East Africa.

This is according to a report by the New World Wealth and Henley & Partners which takes note of private wealth migration trends across the globe.

The report shone a light on five cities in Africa and Nairobi was only beaten to the top by Johannesburg, Cape Town (South Africa), Cairo (Egypt), Lagos (Nigeria) and Durban & Umhlanga (South Africa). Surprisingly, Nairobi is above its East African counterparts, Uganda and Tanzania.

An aerial view of maisonettes in Runda Estate. /FILE

12 Kenyans are currently worth over $100 million (Ksh12 billion) while those worth $10 million (Ksh1.2 billion) are estimated to be 260. Those worth Ksh120 million ($1 million) were found to be 5,400.

Kenya did not register any dollar billionaires with the total private wealth in the city estimated to be Ksh5.7 trillion ($48 Billion). Nairobi has 5,000 high net worth individuals (HNWI) with approximately Ksh120.4 million and 240 multimillionaires with Ksh1.2 billion.

However, the report added that the HNWI growth in the country’s capital dropped in the third quarter by seven per cent.

South Africa's Johannesburg had 15,200 HNWI with two billionaires and 800 multi-millionaires but its HNWI growth dropped by five per cent. Cape Town in the same country recorded 6,800 HNWI, 410 multimillionaires, and 1 billionaire, but a drop of two per cent.

Lagos in Nigeria registered the highest high net worth individuals (HNWI) growth in Africa by 15 per cent, but only three billionaires live in the city.

In terms of the Top 20 in the world, New York, Tokyo and San Francisco topped the list. African cities were not present in that list.

“The right to live, work, study, and invest in leading international wealth hubs such as New York, London, Singapore, Sydney and Toronto can be secured via residence by investment. Individuals of talent and means should not limit their lives and business interests to one country,” Henley & Partners Chief Executive Juerg Steffen stated. 

“Being able to relocate yourself, your family, or your business to a more favourable city or have the option to choose between multiple residences across the world is an increasingly important aspect of international wealth and legacy planning for private clients."

How Kenya's Billionaires Spend their Money

The report also disclosed the spending habits of Kenya's billionaires, with those in Nairobi living in luxury estates such as Runda, Lavington, Kitisuru, Karen and Muthaiga. They have investments in some of Kenya's key industries such as  financial services, real estate, tourism, media, clothing, textiles, processed foods, beverages and cigarette manufacturing.

When it comes to spending on luxury, many of the HNWIs splash on tourist destinations such as Marrakech in Morocco, Cairo in Egypt, the Serengeti in Tanzania, Sharm El Sheikh in Egypt, the Masai Mara in Kenya, Livingstone in Zambia and the Okavango Delta in Botswana. Gorilla safaris in the Virunga Mountains in Rwanda and the Bwindi Forest in Uganda are also popular among them.

“South Africa is home to the largest luxury market in Africa by revenue, followed by Kenya and then Morocco. Major components of this include luxury hotels and lodges, cars, clothing and accessories, watches, private jets and yachts,” Steffen added.

HNWIs are also known to drive cars that are rare to the naked eye of Kenyans and the common folk, and some of them have been turning heads across city streets anytime they pass.

Some of them include the Range Rover, Porsche Cayenne, Mercedes GLE, BMW X6, Bentley Bentayga, Rolls-Royce, Lamborghini Urus, and Aston Martin as well as sports cars such as the Ferrari 458 Italia and the Chevrolet Camaro, all spotted in Nairobi.

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