According to the Global Wealth Report recently released by the Credit Suisse Research Institute, Australia's total household wealth reached $6.4 trillion in 2016, with wealth per capita remaining the second highest in the world. With a population of approximately 24 million, about one-quarter of Australia's residents were born overseas. Australia's relatively low wealth inequality is a key factor attracting overseas individuals to immigrate to the country.
The Global Wealth Report notes that although Australia's economic growth has stagnated due to volatile stock market performance, a weak Australian dollar, and the cooling of the mining boom, its wealth per capita remains among the highest in the world. In 2016, Australia's wealth per capita reached $375,600, ranking second globally, trailing only Switzerland at $562,000. In comparison, the global average wealth per capita was only $52,800. The Credit Suisse Research Institute maintains a positive outlook on Australia's economic prospects, projecting a 34% growth in household wealth over the next five years.
The Global Wealth Report indicates that 1.7 million Australians fall into the top 1% of the world's wealthiest individuals. The proportion of Australian households with wealth exceeding $100,000 is 55.8%, and wealth inequality is relatively low, with only 11% of Australian adults having a net household wealth of less than $100,000. In contrast, the proportion of adults with household wealth below $100,000 is 22% in the United Kingdom and as high as 35% in the United States.
Australia is a nation of immigrants and a truly harmonious multicultural society. It is home to hundreds of linguistic, ethnic, and cultural groups. Australia's stable government, robust education and healthcare systems, merit-based career advancement, and friendly, inclusive culture make it a haven for new immigrants. Just as prospective immigrants aspire to become Australians, Australia also relies on them to combat population aging, address skill and labor shortages, and enhance its own cultural diversity and vitality.
Taking Sydney, Australia, as an example, the growth of the working-age population is currently slowing as the number of retirees exceeds the number of people entering the labor market, necessitating overseas immigration to fill the gap. Previous census data showed that more than one-third of Sydney's residents were born overseas, while about one-quarter of the national population was born abroad. Future changes in Sydney's population age and economic composition will also impact its cultural and ethnic makeup. As the baby boomer generation gradually exits the Australian labor market, it further drives the need for increased overseas immigration.