Half of the international citizens who plan to relocate to India to live, work or study, do not know how they will manage their finances between locations when they move, a survey by financial services group Hongkong and Shanghai Banking Corporation Limited (HSBC) revealed on Thursday.
The study comes as HSBC is relaunching its international products and services to better support customers across borders and provider a seamless cross border experience, whether they’re moving for work, study, or to settle in a new country.
The new suite of product and services of HSBC International will enable customers to:
Open a new account before they arrive in their destination, without visiting a branch.
See all their HSBC accounts in one global view; make simple, fast and competively priced payments.
Build a positive credit history in their new country.
Access financial planning tools and portfolio-based advice from experts in their new location.
Manage their banking needs in different time zones with 24/7 support
Access services with global partners beyond banking (tax solutions, relocation support, special offers)The products and services are available across 10 countries and territories: Australia, Canada, Mainland China, Channel Islands and Isle of Man, Hong Kong, India, Singapore, UAE, UK, US.
The study said amidst inflationary pressures and rising cost of living, 26 percent of international citizens relocate to India for stability for their family, 23 percent move due to improved technology which means they can work from anywhere, and 20 percent relocate or are planning to relocate for a better lifestyle. However of those who have already relocated, 67 percent respondents said they got no help in financial management. Whereas, for those who are still planning to live, work, or study in India, one in every two international citizens have said that nobody helped them feel financially prepared to relocate.
75 percent of the respondents who have relocated agreed that they felt unsettled when they first arrived because they struggled to set-up important things like a bank account, utilities, and the internet.
Almost four in every five (78 percent) international citizens in India have struggled to set up essential services such as credit card, mobile phone, and utilities due to this reason. Moreover, almost 61 percent of the respondents who are planning to move to India are concerned by the fact that they cannot transfer their credit history, the study revealed.
Further, it added that nearly 62 percent of the respondents, who are considering moving to the country, agree that finding the right financial services to suit their specific needs is a matter of worry.
More than half (53 percent) of the respondents who are planning to move to India (to live, work or study) expect a cash flow crisis upon arrival, the study said.
Commenting on the study findings, Taylan Turan, Group Head of Retail Banking and Strategy, Wealth and Personal Banking at HSBC, said, “Moving abroad is exciting and daunting, but managing your finances internationally shouldn’t be a struggle. It’s clear from our research that some people get caught out on the financial front, which can really impact their ability to settle in their new home.
"Banking across multiple locations can make it tricky to stay on top of your finances; there’s a lot to think about. To be set for success, people need to be able to open a bank account before they move overseas and see their bank accounts in one global view. Beyond banking, the tax implications of relocating abroad can also play heavily on people’s minds, so help from tax planning advisors is crucial. The right financial support can help reduce the time people spend worrying about money matters, and instead make more time for them to enjoy their new life."
"Even as technology opens up opportunities for more people to become digital nomads and people start to move across the globe again, financial experience of international citizens may not be all plain sailing," the study said.
It was conducted by Ipsos UK, which surveyed over 7,000 adults across nine international markets, including India. It investigated the experiences of those currently living, working and studying abroad, as well as those who are planning to do so and those who have returned within the last five years. It explored the experience of a range of different international citizens, including expat families, digital nomads and overseas students.
In 2020, the International passenger traffic dropped by 60 percent reducing air travel totals back to 2003 levels. However, the study said, in 2022, the air passenger traffic reached 74 percent of pre-pandemic levels and is expected to make a full recovery in 2023.
(Edited by : Anushka Sharma)
