Kenya's richest individuals continue to become even richer. A new report by the New World Health puts the Kenyans with personal wealth worth more than 1 million dollars at 8,500, which is higher than both Uganda and Tanzania combined. Real Estate leads in minting millions
A report by the New World Wealth, puts the total number of millionaires in Africa at 160,00. This is twice the number of millionaires from the number reported at the beginning of the century.
The report says that Kenya alone now has 8,500 individuals whose net assets are worth more than $1m. This puts Kenya at the top five of the countries in Africa with the most millionaires. Kenya leads the East African region, with Tanzania following at 2,200, while Uganda has only 1300 millionaires.
The countries with the most millionaires are South Africa at 46,800, Egypt at 20,000, and Nigeria at 15,400.
Kenya’s Real Estate Industry Leading In Minting Money
The report says that Kenya’s real estate sector produced the largest number of millionaires (1615) compared to the financial sector (1,530) and 850 from the manufacturing sector.
The real estate market has been growing sharply since 2008 and now contribute about 5.9 percent of the country’s GPD. This growth is reflected on the prices for owning property in kenya. The high demand for housing units has pushed the prices of home ownership even higher.
Half-acre and even quarter acre plots are now changing hands at hundreds of millions of shillings. Properties prices are now doubling in prices on a yearly basis. In most affluent estates within Nairobi and other major towns, three-bedroom apartments with little amenities sell at more than Sh20 million.
Real estate tycoons make up to 500% profit per unit of land or house sold, which explains why the number of rich individuals in real estate has been rising over the years.