It seems like a contradiction of terms, but even though New Zealand currently has about 7000 millionaire households, the country’s rapid rise in personal wealth actual took a turn for the worse last year.

A recent economic global “wealth report” revealed that the number of New Zealand households with assets equaling at least I million US dollars increased by 6 per cent in 2007. Yet despite the positive trend, the country’s poor economy created an overall reduction in personal wealth which basically paints a picture of the wealthy suffering from being “cash-poor.”

So why the reversal of fortune – which is looking more and more like misfortune? According to a spokesperson from the Boston Consulting Group the changing fortune of New Zealand investors reflected a weakening economy and declining share prices in 2007.

There may be some light at the end of the tunnel: thanks to encouraging signs of an upward trend in the overall savings-performance of many New Zealander’s — the potential for long-term growth is apparent. This is part due to the success of KiwiSaver — the voluntary retirement savings scheme introduced the government last year.

Not to despair though, statistics show that worldwide, the number of millionaire households grew by nearly 12 per cent, so indeed there may be some truth to the old adage that “the rich continue to get richer.”