Global Wealth Inequality Soars: Oxfam Report Reveals Billionaires’ Staggering Rise Amid Growing Poverty
The annual inequality report released by Oxfam on January 14 has unveiled a startling surge in the net worth of the world’s top five billionaires. Since the year 2020, the total value of their assets has skyrocketed by 114%, reaching an astronomical $869 billion after accounting for inflation. In a bold prediction, Oxfam anticipates that the world may witness its first trillionaire within the next decade if this current trajectory persists.
This remarkable escalation in wealth stands in stark contrast to the struggles faced by nearly 5 billion people globally, who are experiencing increased poverty due to challenges such as inflation, war, and climate crises. The report paints a bleak picture, estimating that it could take close to 230 years to eradicate hunger and reduce poverty on a global scale.
Oxfam’s report draws on data compiled by Forbes and coincides with the annual World Economic Forum in Davos, Switzerland, where world leaders and a significant number of the wealthiest individuals on the planet convene.
Breaking down the numbers, the report reveals that, overall, the assets of billionaires have seen a staggering increase of $3.3 trillion, equivalent to 34%, since 2020. This surge in wealth accumulation has outpaced the rate of inflation by threefold.
The American billionaire cohort witnessed a substantial increase of $1.6 trillion during this period, with many reaping the benefits of their shares in the companies they helm.
Leading the pack as the highest earner is Elon Musk, the CEO of Tesla and SpaceX. From March 2020 to November 30, 2023, Musk’s wealth surged by an astonishing 737%, reaching a monumental $245.5 billion. Following closely is French billionaire Bernard Arnault, chairman of the luxury conglomerate LVMH, whose wealth increased by 111% to a formidable $191.3 billion.
Amazon founder Jeff Bezos holds assets totaling $167.4 billion, reflecting a 24% increase, while Oracle founder Larry Ellison’s wealth reached $145.5 billion, marking a remarkable 107% increase.
Warren Buffett, the CEO of Berkshire Hathaway, observed a noteworthy 48% increase in wealth, bringing his total to $119.2 billion and securing a prominent position among the top five richest individuals globally.
OXFAM: World’s richest 1% grab two-thirds of global wealth
This year’s Oxfam report critically evaluates the substantial profits amassed by large corporations, contributing significantly to the burgeoning wealth of the super-rich. Seven out of the world’s ten largest publicly traded companies have CEOs or major shareholders who are billionaires.
The report emphasizes that the wealthiest 1% of the global population now holds a staggering 43% of the world’s financial wealth. In the United States, this group owns 32%, while in Asia, the figure rises to a striking 50%. In the Middle East, the top 1% controls 48% of financial wealth, and in Europe, it’s 47%.
Oxfam’s analysis also indicates that approximately 148 of the world’s largest corporations amassed nearly $1.8 trillion in profits in the 12 months leading up to June 2023. Industries such as oil and gas, pharmaceuticals, and finance have demonstrated significantly higher profitability over the past 1-2 years compared to the average of the preceding years.
Oxfam Report Reveals Billionaires’ Staggering Rise Amid Growing Poverty
