‘Middle-class’ rich leaving hurts SA

There will probably be polar opposite reactions to the news that about 4,500 high-net-worth individuals (those “dollar millionaires” with assets of more than R15.7 million) left the country over the past decade.

One side will say their reasons for emigrating – because of concerns about crime, rolling blackouts, corruption and economic stagnation – shows how bad our country is.

And, of course, there will be the argument that our taxpayer base is taking a big hit.

The other side might say: Good riddance. If you’re not prepared to stay and make SA work, then we don’t need you.

ALSO READ: 60,000 new South African millionaires were created in 2021

And there will be others to step into the vacuum, so tax revenue will not be badly affected.

Whatever side you agree with, the reality is that wealthy people are being attracted by the UK, US and Australia, but also other countries, such as Malta, where you can buy residency or citizenship with investment.

What the figures do not disclose, however, is how many of those who left are not the “mega rich”, but are merely middle class (a million dollars does not mean you are rich in most countries).

Those middle-class people, rather than the uber wealthy, keep the wheels turning. And losing them will hurt this country.