World's richest 1% increased fortunes by $40tn over past decade: oxfam
Brazil has prioritised international cooperation on taxing super-rich during its presidency of G20
July 25, 2024
- Wealth of world's richest was 36 times more than wealth of poor.
- Historically low taxes on super-rich to be discussed at G20 summit.
- Nearly 4 out of 5 of world's richest belong to G20 nations: oxfam.
Over the past decade, the world’s richest one per cent have increased their fortunes by a total of $42 trillion, according to Oxfam on Thursday.
The non-governmental organisation (NGO) added that taxes on the rich have fallen to "historic lows", leading to "obscene levels" of inequality, while the rest of the world is left to struggle for limited sources, AFP reported.
This issue will be a key topic at the upcoming G20 summit in Brazil.
Brazil has prioritised international cooperation on taxing the super-rich during its presidency of G20, a group of countries representing 80% of the world's GDP.
At this week's summit in Rio de Janeiro, the G20 finance ministers are expected to discuss raising levies on the ultra-wealthy and preventing billionaires from dodging tax systems.
The initiative aims to develop methods to tax billionaires and other high-income earners.
The proposal is due to be fiercely debated at the summit on Thursday and Friday, with France, Spain, South Africa, Colombia and the African Union in favour, but the United States firmly against.
Oxfam dubbed it a "real litmus test for G20 governments", urging them to implement an annual net wealth tax of at least eight per cent on the "extreme wealth" of the super-rich.
"Momentum to increase taxes on the super-rich is undeniable," said Oxfam International's head of inequality policy, Max Lawson.
"Do they have the political will to strike a global standard that puts the needs of the many before the greed of an elite few?"
Oxfam said that the $42 trillion figure was nearly 36 times more than the wealth accumulated by the poorer half of the world's population.
Despite this, billionaires "have been paying a tax rate equivalent to less than 0.5% of their wealth" across the globe, the NGO said.
Nearly four out of five of the world's billionaires call a G20 nation home, Oxfam noted.
