Mumbai: India's rich got richer last year on the back of stock market boom and high economic growth.

About 61,000 High Net-worth Individuals (HNI) in India increased their wealth by 22 per cent to a whopping $ 267 billion (Rs 12,09,000 crore) in 2003, the World Wealth Report drawn up by Merrill Lynch and Capgemini said today (June 16, 2004).

The growth in HNIs, having a minimum financial asset of $1 million, worldwide was slower at 7.5 per cent when compared to India.

There were 7.7 million HNIs worldwide with a wealth of $ 28.8 trillion by the end of 2003.

"There is an estimated 61,000 HNIs in India at the end of 2003. This is an estimated 11,000 more people than the previous year," Merrill Lynch global private client's country head, Rajan Sehgal, said.

As in 2002, HNIs worldwide were quick to respond to global trends affecting their ability to preserve and grow wealth. They benefited from a strong stock market rally and solid global economic growth, he said.

"Wealthy investors in US, China and India were able to capitalise on these trends despite a great deal of geo-political uncertainties," Sehgal said.

US topped the list with 2.27 million HNIs till the end of 2003, which was up by 14 per cent from 2002.

The growth in well-to-do persons in China was 12 per cent last year.

The rise in the number of rich people in India and China was mainly attributed to the high economic growth in 2003.

"Following the two impressive years, both India and China registered red hot GDP (Gross Domestic Product) growth rates, 7.4 per cent and 9.1 per cent, respectively," the report said.

Referring to the booming stock market in India during 2003, it said, "Mumbai continued its 2002 growth at an accelerated pace ending 2003, at 110 per cent higher than where it began the year."

HNIs benefited from substantial gains in existing equity positions as well as additional equity investment as external conditions stabilised, the report said.

"HNIs were among the first investors to begin shifting their focus from low yielding fixed income back into equities, specialised products and alternative investment," it said.

Real estate, which is not considered as a liquid asset, proved appealing to HNIs for the second year in a row, it added.