India's Top 1% Wealth Surge Highlights Global Inequality
The richest 1% in India increased their share of wealth by 62% from 2000 to 2023, revealing an expanding wealth gap between the super-rich and the rest of the population. This significant rise was detailed in a G20 taskforce report released on Tuesday.
The report, commissioned during South Africa's G20 presidency, showed that worldwide, the top 1% of people gained 41% of all new wealth since 2000. In stark contrast, the bottom 50% of the global population saw their wealth grow by only 1%, based on data from the World Inequality Lab.
In other words, the top 1% increased their average wealth by 2,655 times as much as the bottom 50%.
Recommendations to Address Inequality
The taskforce suggested creating a dedicated panel on inequality, modeled after the Intergovernmental Panel on Climate Change (IPCC). This panel would track the causes and effects of inequality and advise governments and policymakers accordingly.
Warning on Democratic and Economic Risks
Authors cautioned that countries with large inequality levels risk democratic erosion. Nobel laureate economist Joseph Stiglitz commented:
"It isn't just unfair and undermining societal cohesion – it's a problem for our economy and our politics too."
Summary
The report underlines how India's wealth concentration among its richest 1% mirrors a global trend, calling for urgent policy measures to combat growing inequality and safeguard democracy.