These 7 Tier II cities mint most millionaires

Wealth creation in India is accelerating nationwide yet remains highly concentrated in just a few regions. The country’s top 10 states collectively host more than 79% of all millionaire households, as per the Mercedes-Benz Hurun India Wealth Report 2025, underscoring the dominant role these economic hubs play in shaping India’s prosperity and wealth distribution.

Though India’s wealth remains heavily concentrated in its leading urban centres, with Mumbai, New Delhi and Bengaluru emerging as the top three hubs of prosperity, Tier II cities are also emerging among top 10 millionaire makers.

In the report, seven Tier II cities are among the top 10 with the highest number of millionaire households: Ahmedabad, Surat, Jaipur, Vadodara, Nagpur, Visakhapatnam and Lucknow. These Tier II cities also contribute to the expanding footprint of millionaires, reflecting the broader economic vibrancy of the country’s cities.

The spread of prosperity is not limited to Tier I and Tier II cities alone. Democratisation of affluence is visible with the rise of millionaires even in small towns and cities.

Wealth managers chasing small-town millionaires

People in smaller towns are increasingly signing up for wealth management services such as portfolio management (PMS), alternative investment funds (AIFs), and wealth advisory, ET had reported in April. Startups offering these services say around 30% of their new users now come from beyond the top 18 state capitals.

Founders of new-age wealthtech startups Dezerv, Centricity and Ionic Wealth, among others, told ET that multiple factors -- including technological capabilities that have reduced the cost of servicing a single client, overall financial growth of the country, and improved access to information -- are driving wealth advisory into smaller towns. This comes in the backdrop of a surge in retail participation in stock markets. Leading stockbroking platforms like Zerodha, Angel One and Groww are likely seeing more than 80% of their new clients come from beyond the metro cities, industry insiders told ET.

While digital platforms are democratising access to financial services, physical presence still plays a crucial role. Wealthtech startups have created networks of on-ground investment advisors operating through small branches to complement their online platforms.

Also read: India's multi-crorepatis: Wealth piles up at the base

Previously, wealth managers needed to have soft skills like great presentation, coupled with English language skills, along with knowledge of financial markets. Now, there is increased focus on building capabilities to serve customers in regional languages.

ET had reported in 2023 too on the emergence of millionaires in India's Tier 2 and Tier 3 cities, with wealth creation no longer confined to metropolitan areas, and wealth managers eyeing this emerging market. Factors driving growing affluence in small cities include the growth of startups, corporate professionals, increased liquidity through IPOs and ESOPs, and the expansion of retail and logistics sectors. This trend is prompting wealth management firms to open new offices in smaller cities and demand professional money managers to cater to clients with wealth ranging from Rs 2 crore to over Rs 1,000 crore.

As per the ET report, cities witnessing this trend include Morbi, Vapi, Panipat, Ludhiana, Tiruppur, Raipur, Dehradun, Jamshedpur and Rajkot. Wealth management firms are eyeing micro-markets like Guwahati, Amritsar, Jalandhar and Trichy.