Citing reasons for children’s better education, one out of seven young millionaires in China considers emigration, according to a recent survey.
The 40-page report, released by the Bank of China and the Hurun Research Institute, revealed that 14% of Chinese millionaires in 18 Chinese cities across the country have already either applied or are in the process of applying for emigration to other countries like US and Canada.
The survey covered 980 young Chinese millionaires with assets exceeding 10 million Yuan ($ 1.57 million).
Despite the rapid economic development, the report said that one third of the respondents have already made investments outside the country aimed at entirely moving out of China in the near future.
Observes note that the massive Chinese millionaire emigration could prove to be an “additional cash flow for the fund starved economies of Europe and the United States, and substantial diversion of wealth from China.”
Hu Xingdou, a Beijing based scholar told a Hong Kong newspaper that the lack of legal protection in many areas is probably leading to the worsening of business environment in China and the acceleration of the emigration drive.
“If the cash fails to flow back to the mainland due to recession, Chinese economy might face a collapse,” Hu warned.