Agencies
Billionaires’ wealth grew three times faster in 2024 than the year before, a top anti-poverty group said in a report published on Monday as some of the world’s political and financial elite prepared for an annual gathering in Davos, Switzerland.
Oxfam International, in its latest assessment of global inequality timed to the opening of the World Economic Forum (WEF) meeting, also predicts at least five trillionaires will crop up over the next decade. A year ago, the group forecast that only one trillionaire would appear during that time.
Oxfam’s research adds weight to a warning by outgoing President Joe Biden last week of a “dangerous concentration of power in the hands of very few ultra-wealthy people.” The group’s sharp-edged report, titled “Takers Not Makers,” also says the number of people in poverty has barely budged since 1990.The World Economic Forum expects to host some 3,000 attendees, including business executives, academics, government officials and civic group leaders, at its annual meeting in the Alpine village of Davos.
President-elect Donald Trump, who visited Davos twice during his first term and was set to take the oath of office on Monday, is expected to participate in the forum’s event by video on Thursday. He has long championed wealth accumulation – including his own – and counts multibillionaire Elon Musk as a top adviser.
“What you’re seeing at the moment is a billionaire president taking oaths today, backed by the richest man. So this is pretty much the jewel in the crown of the global oligarchies,” Amitabh Behar, executive director of Oxfam International, said in an interview, referring to Trump and Musk.
“It’s not about one specific individual. It’s the economic system that we have created where the billionaires are now pretty much being able to shape economic policies, social policies, which eventually gives them more and more profit,” he added.
Like Biden’s call for making billionaires “begin to pay their fair share” through the U.S. tax code, Oxfam – a global advocacy group – called on governments to tax the richest to reduce inequality and extreme wealth and to “dismantle the new aristocracy.” The group called for steps like breaking monopolies, capping CEO pay and regulating corporations to ensure they pay “living wages” to workers.
Many investors racked up strong gains in 2024, with strong performances for top tech companies and stock-market indexes.Oxfam said billionaire wealth grew by $2 trillion last year, or roughly $5.7 billion a day, three times faster than in 2023. The number of billionaires rose by 204 to 2,769 and the 10 richest men saw their wealth rise nearly $100 million a day on average, it said.Citing World Bank data, the group pointed to lingering poverty, saying the number of people living on less than $6.85 per day has “barely changed” since 1990. Oxfam used Forbes’ Real-Time Billionaire List” as of the end of November for data on the ultra-rich.
By contrast, at least four new billionaires were “minted” every week in 2024, and three-fifths of billionaire wealth comes from inheritance, monopoly power or “crony connections,” it said.
On average, Oxfam said, low- and middle-income countries spend nearly half their national budgets on debt repayments. It also noted that life expectancy in Africa is just under 64 years, compared to over 79 years in Europe.
Despite the growing gap between the very rich and the poor, the annual Davos conference will likely focus this year again on making money and doing deals, with strongman leaders on the rise in some Western countries and progressive causes like diversity and climate change waning in the business world.The continued rise of artificial intelligence as a tool for businesses to reap greater efficiencies will also again be a central theme in Davos, despite worries in many sectors that AI could upend many white-collar jobs and displace workers in an array of industries.
Trump’s return for a second term will likely be on many lips in Davos, as will lingering conflicts, including wars in Ukraine and Sudan, along with hopes for a continuation of a cease-fire that began on Sunday between Hamas and Israel, pausing the devastating 15-month war in Gaza.
Forum organizers last week issued a survey conducted among 900 experts for the “Global Risks Report,” which found that conflicts between countries were the top concern, followed by extreme weather, economic confrontation, misinformation and disinformation, and “societal polarization” – a nod to the gap between rich and poor.
As in past years, protesters calling for more economic equality, taxing the rich and pressing other demands took to the streets. Some blocked roads to Davos, snarling traffic in places and delaying trips for some attendees to the event, which runs through Friday.
