The past two decades have generated $160 trillion in ‘paper wealth’, according to McKinsey’s 2023 Wealth Report. However, growth has been sluggish and there has been rising inequalities. According to the report, Africa’s long-term economic growth has been slow. The continent is home to the world’s youngest and fastest-growing population, but its economic performance has not been in tandem.
Although this may seem bleak, reports indicate that Africa could add $1.4 trillion to its economy, almost doubling the value added by services today, were it to match the productivity growth of Asia’s strongest services.
In looking at wealth holistically, mapping out the trends for 2024 tells us that currently, the continent holds investable wealth worth about $2.4 trillion, and according to the recently-published Africa Wealth Report 2023 by Henley & Partners in collaboration with New World Wealth, the population of millionaires is expected to increase by 42% over the next 10 years.
Speaking to experts in wealth management and advisory services as well as a futurist, there is some optimism in looking at trends that go beyond just the numbers.
1. More Millennials, More Gen Zs, and More Women
Probably the tells a story of how women’s wealth has seen unprecedented growth over the last decade. Women now control 32% of the world’s wealth. This will rise at a compound annual growth rate of 5.7% to $97 trillion by 2024.
