More than 26,000 people in Malaysia have assets worth at least US$1 million (RM3.49 million), not including their primary residences, research firm WealthInsight Intelligence Centre Database says.

 

The wealth of these millionaires, who make up less than one percent of the population, is equivalent to at least 96 years of wages of a Malaysian household in the bottom 30 percent.

 

Those in the bottom 30 percent earn less than RM3,000 a month, Department of Statistics data show.

 

“With a population of only 28.3 million, Malaysia has a similar number of millionaires to much more densely populated countries such as Indonesia, whose population stands at 237.6 million.

 

“This demonstrates the big potential for billionaire growth in Malaysia,” WealthInsight analyst Tom Carlisle said in the report.

 

In its report on Malaysia's wealth released yesterday, WealthInsight said the number of millionaires in Malaysia has grown by a whopping 45.5 percent, while their wealth grew 59.6 percent from 2009 to 2013.

 

Their combined wealth amounts to US$151 billion (RM527.87 billion) - almost twice the size of the 2015 national budget.

 

Malaysia's even more exclusive billionaires’ club - which collectively has US$46 billion - owns 209 percent the wealth of all Paraguay's millionaires combined.

 

This will grow even more, the London-based firm said, with Malaysia expected to have more billionaires than oil-drenched United Arab Emirates by 2018.

 

Widening gap

 

Not surprisingly, Kuala Lumpur is Malaysia’s richest city - it alone has 13,800 millionaires, surpassing Emirati capital Abu Dhabi, where 12,500 people have assets worth at least US$1 million, excluding primary residences.

 

Other Malaysians cities with high numbers of millionaires, according to WealthInsight, include Petaling Jaya (1,744 people), Shah Alam (1,017) and Johor Bahru (640).

 

Last year, UK realtor Knight Frank's Wealth Report ranked Kuala Lumpur at number 39 in the rank of cities that matter to high net wealth individuals, two notches behind Abu Dhabi. Singapore ranked number six.

 

WealthInsight said that 15.2 percent of Malaysian millionaires acquire their wealth from financial services, followed by real estate (10.4 percent), basic materials (10.2 percent) and construction (9.9 percent).

 

WealthInsight curates a database of more than 110,000 high net worth individuals around the world.

 

But while the wealthy are increasing their numbers in Malaysia, the country has one of the highest gaps between rich and poor in Asia for decades.

 

According to the Gini coefficient index - which measures the distribution of income among individuals or households - the disparity in wealth in Malaysia is higher than neigbouring countries such as Thailand, Indonesia and India.