Rich Chinese Immigration to Australia Sucking Wealth from Mainland

Chinese new immigrants have brought a total of A$325 million (about HK$2.2 billion) of investment to Australia in the first year of the government’s immigration program. (Jimmyharris/Flickr)
Chinese new immigrants have brought a total of A$325 million (about HK$2.2 billion) of investment to Australia in the first year of the government’s immigration program. (Jimmyharris/Flickr)

Hong Kong’s South China Morning Post reported on Feb. 4 about the Australian government’s immigration program designed to attract wealthy investors that was launched in November 2012. It requires an investment of A$5 million. Australian Department of Immigration figures show that since the implementation of the resettlement plan last year, 65 “significant investor” visas were granted for people from China. This is making Chinese immigration to Australia quite lucrative for the government.

In the first year of the immigration program, 91 percent of the 545 accepted applications were Chinese citizens. These new immigrants have brought a total of A$325 million (about HK$2.2 billion) of investment to Australia.

That kind of immigration is called a Business Innovation and Investment (Provisional) visa (sub-class 188) in Australia, and it can also be upgraded to a “subclass 888” permanent visa after four years. The plan clearly shows its target audience―in Chinese culture, the number “8” is considered a symbol of wealth and success. Meanwhile, the plan has no language or age requirement, and applicants do not need engage in commercial operations in Australia.

In November 2013, the Bain Consulting Company found that half of the super-rich Chinese have overseas investments. Some scholars in China believe that the majority of their wealth is from illegal means. They ask, how can so many Chinese can accumulate A$5 million? Out of that group, how many are businessmen?

Simply put, the sources of these people’s wealth are from gray and black incomes. When they immigrate to Australia, their money goes with them, and leads to capital outflow from China.

Source: SecretChina

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