Economy

China's household wealth to double by 2015 - Credit Suisse

(Agencies)
Updated: 2010-10-09 15:37

HONG KONG - China's household wealth is set to more than double to $35 trillion by 2015 if the country maintains its historic growth rates, according to a report by Credit Suisse.

China is now the third-largest wealth creator in the world, amassing a total household wealth of $16.5 trillion, lagging only the United States and Japan, according to Credit Suisse's inaugural wealth report, released on Friday.

HK prepares for global yuan Related readings:  Chongqing starts household registration reform  China continues to promote consumption  Trade-in subsidy program extended to 2011  Wealth gap poses threat to stability

Household wealth in China, the world's second-biggest economy by some measures, is 35 percent bigger than household wealth in France, the euro zone's second-biggest economy, and almost five times bigger than that of Asian economic powerhouse India.

The report found that about a quarter of the world's 1,000 billionaires live in the Asia Pacific while half reside in North America.

"The report confirms that Asia Pacific countries, which now make up the bulk of the world's middle class of emerging consumers, are driving the growth of the world's wealth," Osama Abbasi, Credit Suisse's newly appointed Asia Pacific chief executive officer said.

"Economic expansion in other key markets in the Asia Pacific means that today growth in average household wealth per adult is up to 10 times the global growth rate," he added.

The United States topped the list of countries with the highest total household debt, followed by Japan, Germany and the United Kingdom.

Switzerland led the pack with the highest average wealth per adult, followed by Norway, Australia and Switzerland.

The report projected that global wealth, held by 4.4 billion adults, would jump 61 percent to $315 trillion by 2015 from $195 trillion.

The report, which was based on data as of mid-2010 across more than 200 countries, was produced in collaboration with Professors Anthony Shorrocks and Jim Davies, experts on the topic of global household wealth, Credit Suisse said.