The wealth of the world’s richest people has increased by $33.9 trillion since 2015
Since 2015, the fortunes of the world’s richest people have increased by $33.9 trillion in real terms. About this it is said in a new Oxfam report released ahead of the UN Conference on Financing for Development.
The astronomical rise in private wealth comes amid record cuts in humanitarian aid, with the G7 set to cut aid by 28% by 2026 from 2024, the sharpest decline since 1960.
During this period, the fortunes of three thousand billionaires increased by 6.5 trillion dollars, reaching 14.6% of world GDP. At the same time, from 1995 to 2023, the amount of private capital increased by $342 trillion, which is eight times greater than the amount of public assets, which is $44 trillion.
Meanwhile, 60% of the world’s poorest countries are on the brink of debt crisis, spending more on debt service than on health care and education. The situation is complicated by the position of private creditors, who account for more than half of the debt of low-income countries — they refuse to restructure debts and put forward tough financial conditions.
A new analysis by Oxfam criticizes an approach to development finance that focuses on attracting private investors. It says that a decade-long effort by key international players to reimagine their role as a support for the large financial structures of the Global North has proved ineffective — not only causing a series of losses, but also mobilizing only marginal amounts of funding.
“Rich countries have put Wall Street at the helm of global development. It’s a global craze for private finance that has overtaken evidence-based ways to fight poverty through public investment and fair taxation. No wonder governments are woefully behind schedule, including promoting a decent workforce, gender equality or ending hunger. Such a high concentration of wealth stifles efforts to end poverty.” – said Amitabh Behar, Executive Director of Oxfam International.
