Why Even Money Can’t Buy Peace in India Anymore
Nidhi | Dec 24, 2025, 17:07 IST
IND vs SA: Anushka is all hearts as Virat Kohli scores his 53rd ODI century
Image credit : ANI
India is one of the fastest-growing economies in the world, yet a growing number of its wealthiest citizens are choosing to leave. This article explores why economic growth alone is no longer enough to guarantee peace of mind. From tax uncertainty and capital flight to weak public services, legal delays, and rising inequality, it examines the deeper reasons behind India’s silent wealth migration. When even money struggles to buy stability, safety, and trust, it raises uncomfortable questions about what growth truly means for the country’s future.
<p>IND vs SA: Anushka is all hearts as Virat Kohli scores his 53rd ODI century</p>
India’s rise looks impressive in numbers. The country is the fastest-growing major economy, posting 8.2 percent GDP growth in FY2023–24, driven by manufacturing, infrastructure, and services. Global headlines speak of India as the next economic powerhouse.
Yet beneath this optimism, something unsettling is happening. The country’s wealth creators—entrepreneurs, investors, professionals, and business families—are quietly preparing exit plans. This is not panic. It is calculation.
A joint survey by Kotak Private Banking and EY found that more than one in five ultra-high-net-worth individuals in India are either migrating abroad or actively planning to do so.
If growth is real, why does peace feel so scarce - even for those with money?
India’s economy has expanded faster than its public systems. Roads, airports, and digital payments have improved, but the deeper foundations of daily life - air quality, healthcare access, urban planning, and civic efficiency have lagged behind.
Money can buy private solutions, but it cannot fully shield families from polluted cities, overcrowded infrastructure, or unreliable municipal services. Over time, even the wealthy tire of living in constant workaround mode. Growth without comfort eventually feels hollow, and prosperity without ease becomes exhausting.
Under India’s Liberalised Remittance Scheme, outward remittances jumped from $19.61 billion in FY2021–22 to $27.14 billion in FY2022–23, a sharp 38 percent rise. This money is not being parked idly. It is flowing into overseas homes, foreign education, and residency programs.
At the same time, foreign direct investment into India declined from $84.8 billion to $71 billion over the same period. These two trends together reveal a deeper truth: capital no longer feels emotionally or institutionally anchored. When policy feels unpredictable and long-term clarity is missing, wealth seeks environments where rules feel settled, not negotiable.
India reduced corporate tax to competitive levels, but for high-earning individuals, effective personal tax rates climb close to 43 percent. Globally, this is not unusual. What troubles wealth holders is not the rate - it is the uncertainty surrounding it.
Frequent amendments, complex compliance rules, discretionary enforcement, and memories of retrospective taxation have created a lingering sense of risk. Wealth planning thrives on predictability. When rules change often and disputes take years to resolve, taxes begin to feel less like contribution and more like exposure. In comparison, places like the UAE, Singapore, and parts of Europe offer something India struggles to guarantee: clarity over decades, not just years.
India’s growth has been sharply uneven. The World Inequality Report 2022 shows that the top 1 percent holds 22 percent of national income, while the bottom half earns just 13 percent. The average wealth gap between these groups is enormous.
Such inequality affects everyone. The poor feel excluded, while the wealthy feel surrounded by instability. Social cohesion weakens when growth benefits feel distant for large sections of society. In such environments, wealth no longer guarantees safety or emotional comfort. Gated living becomes the norm, and trust in the social fabric begins to erode.
India has long exported talent. What is new is the scale at which wealth itself is leaving.
According to Henley & Partners, India ranked second globally in millionaire outflows in 2023, with around 6,500 millionaires exiting. Projections suggest this could rise to 8,000 annually by 2025.
These individuals are not passive consumers. They are startup backers, employers, risk-takers, and mentors. When they leave, India loses not just money but institutional memory, leadership, and long-term risk appetite.
Despite rising tax collections, India spends relatively little on essentials. Public healthcare expenditure is around 2.1 percent of GDP, education spending about 2.9 percent, both far below global benchmarks.
As a result, even wealthy families increasingly depend on foreign hospitals and overseas universities. Clean air, reliable healthcare, and quality education are not luxuries. They are foundations of peace. When these must be sourced abroad, relocation stops feeling like indulgence and starts feeling like responsibility.
India has more than 52 million pending court cases. Civil disputes and contract enforcement can take a decade or longer. For business owners and investors, this means uncertainty over property rights, partnerships, and dispute resolution.
In contrast, countries attracting Indian wealth prioritise fast commercial courts, digital filings, and time-bound judgments. For capital, speed is security. Delays act like an invisible tax on confidence.
India ranked 96th out of 180 in the Transparency International Corruption Perceptions Index 2023. Beyond corruption, frequent policy shifts in sectors like fintech, crypto, and technology have created an environment of constant adjustment.
Even reforms, when introduced abruptly, add to fatigue. Wealth creators do not seek zero regulation. They seek stable regulation. When engagement with the state feels like negotiation rather than partnership, peace becomes elusive.
Indian ultra-HNIs are choosing countries that offer predictability over promises.
The UAE attracts them with tax clarity and infrastructure. Singapore offers governance and education. Portugal and Greece provide residency stability. Canada and Australia promise safety and rule of law. Even the US and UK, despite challenges, still offer unmatched access to capital markets and institutions.
These choices are less about lifestyle upgrades and more about system upgrades.
Yet beneath this optimism, something unsettling is happening. The country’s wealth creators—entrepreneurs, investors, professionals, and business families—are quietly preparing exit plans. This is not panic. It is calculation.
A joint survey by Kotak Private Banking and EY found that more than one in five ultra-high-net-worth individuals in India are either migrating abroad or actively planning to do so.
If growth is real, why does peace feel so scarce - even for those with money?
1. Growth Has Outpaced Systems That Make Life Livable
Q2 GDP: Indian economy may outshine forecast amid global disruptions
Image credit : IANS
India’s economy has expanded faster than its public systems. Roads, airports, and digital payments have improved, but the deeper foundations of daily life - air quality, healthcare access, urban planning, and civic efficiency have lagged behind.
Money can buy private solutions, but it cannot fully shield families from polluted cities, overcrowded infrastructure, or unreliable municipal services. Over time, even the wealthy tire of living in constant workaround mode. Growth without comfort eventually feels hollow, and prosperity without ease becomes exhausting.
2. Capital Is Leaving Because Confidence Is Weakening
At the same time, foreign direct investment into India declined from $84.8 billion to $71 billion over the same period. These two trends together reveal a deeper truth: capital no longer feels emotionally or institutionally anchored. When policy feels unpredictable and long-term clarity is missing, wealth seeks environments where rules feel settled, not negotiable.
3. Taxes Feel Uncertain, Not Just High
New Delhi, Dec 17 (ANI): Union Minister Nirmala Sitharaman in Rajya Sabha during...
Image credit : ANI
India reduced corporate tax to competitive levels, but for high-earning individuals, effective personal tax rates climb close to 43 percent. Globally, this is not unusual. What troubles wealth holders is not the rate - it is the uncertainty surrounding it.
Frequent amendments, complex compliance rules, discretionary enforcement, and memories of retrospective taxation have created a lingering sense of risk. Wealth planning thrives on predictability. When rules change often and disputes take years to resolve, taxes begin to feel less like contribution and more like exposure. In comparison, places like the UAE, Singapore, and parts of Europe offer something India struggles to guarantee: clarity over decades, not just years.
4. Inequality Is Creating Social and Psychological Strain
Such inequality affects everyone. The poor feel excluded, while the wealthy feel surrounded by instability. Social cohesion weakens when growth benefits feel distant for large sections of society. In such environments, wealth no longer guarantees safety or emotional comfort. Gated living becomes the norm, and trust in the social fabric begins to erode.
5. Brain Drain Has Become Wealth Drain
According to Henley & Partners, India ranked second globally in millionaire outflows in 2023, with around 6,500 millionaires exiting. Projections suggest this could rise to 8,000 annually by 2025.
These individuals are not passive consumers. They are startup backers, employers, risk-takers, and mentors. When they leave, India loses not just money but institutional memory, leadership, and long-term risk appetite.
6. Basic Public Goods Remain Underfunded
Supermarket
Image credit : Pixabay
Despite rising tax collections, India spends relatively little on essentials. Public healthcare expenditure is around 2.1 percent of GDP, education spending about 2.9 percent, both far below global benchmarks.
As a result, even wealthy families increasingly depend on foreign hospitals and overseas universities. Clean air, reliable healthcare, and quality education are not luxuries. They are foundations of peace. When these must be sourced abroad, relocation stops feeling like indulgence and starts feeling like responsibility.
7. The Legal System Creates Long-Term Anxiety
In contrast, countries attracting Indian wealth prioritise fast commercial courts, digital filings, and time-bound judgments. For capital, speed is security. Delays act like an invisible tax on confidence.
8. Bureaucracy and Policy Volatility Cause Fatigue
Even reforms, when introduced abruptly, add to fatigue. Wealth creators do not seek zero regulation. They seek stable regulation. When engagement with the state feels like negotiation rather than partnership, peace becomes elusive.
9. Where the Wealth Is Going and Why
Dubai
Image credit : Freepik
Indian ultra-HNIs are choosing countries that offer predictability over promises.
The UAE attracts them with tax clarity and infrastructure. Singapore offers governance and education. Portugal and Greece provide residency stability. Canada and Australia promise safety and rule of law. Even the US and UK, despite challenges, still offer unmatched access to capital markets and institutions.
These choices are less about lifestyle upgrades and more about system upgrades.