AfrAsia Bank in collaboration with New World Wealth has published its African wealth report for 2021, highlighting the wealthiest cities on the continent by total wealth held.
The group defines ‘total wealth’ as the private wealth held by all the individuals living in each city. It includes all their assets – including property, cash, equities, business interests – less any liabilities.
Using this metric, the data shows that Johannesburg is the city with the most millionaires (15,100) on the continent, followed in a distant second by Cape Town (6,500). New World Wealth defines millionaires as those with a net worth of $1 million or more.
Durban (3,400), the Cape Winelands (2,800) and Pretoria (2,400) also feature in the top 10.
“Most of Johannesburg’s wealth is concentrated in Sandton, which is home to the Johannesburg Stock Exchange and to the head offices of most of Africa’s largest banks and corporates,” AfrAsia Bank said.
“Major sectors in the city include financial services such as banks and professional services including law firms and consultancies.”
The group said that Cape Town is home to Africa’s most exclusive suburbs including: Clifton, Bantry Bay, Fresnaye, Llandudno, Camps Bay, Bishopscourt and Constantia.
It is also home to a number of top-end lifestyle estates including Steenberg, Atlantic Beach and Silverhurst Estate. Major sectors in the city include real estate and fund management.
Fastest growing areas
While Johannesburg and Cape Town are relatively cemented in their positions, AfrAsia Bank’s data shows that the number of wealthy people living around Durban and the North Coast is rapidly increasing.
“Notably, Umhlanga and Ballito are two of the fastest growing towns in South Africa, in terms of wealth growth over the past decade,” it said.
“The apartments on Lagoon Drive in Umhlanga are some of the most exclusive in South Africa, with notable top-end complexes include the Pearls, Edge of the Sea and the Bermudas.”
Similar gains are being seen in the three Western Cape neighbouring towns of Paarl, Franschoek and Stellenbosch.
“They combine to form one of the fastest-growing areas in South Africa for high-net-worth individuals,” it said.
“Notably, a large number of retired HNWIs have moved to these towns over the past decade. There are also several exclusive residential estates in the area that have attracted high-net-worth individuals including Val de Vie, De Zalze and Domaine des Anges.”