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Billionaires’ wealth grows by €2.2billion/£1.9billion per day as half the world lives on €5/£5 per day

Monday 21st January 2019
 
Almost half the world’s population live on less than €5/£5 per day while the wealth of the world’s billionaires increased by €2.2billion/£1.9billion per day in 2018 alone, reveals a new report from Oxfam today. 
 
 
The report – Public Good or Private Wealth? – highlights how the global economy rewards those at the top while people living in poverty get poorer. Last year, the 3.8 billion people who make up the poorest half of the world saw their wealth decline by 11 percent while billionaires’ fortunes rose by almost the same amount (12 percent). 
 
As political and business leaders gather at the World Economic Forum in Davos this week, Oxfam is calling on governments to address this rising inequality by tackling tax avoidance by corporates and wealthy individuals and providing quality, free universal public services that are key to reducing it. 
 
Jim Clarken, Oxfam Ireland Chief Executive, said: “Halving extreme poverty is one of our greatest global achievements over the last 30 years but this is being jeopardised by rising inequality. Our report shows how decades of progress in reducing global poverty has disturbingly slowed – the rate of reduction has halved since 2013 – with extreme poverty actually increasing in sub-Saharan Africa. 
“This is a direct result of inequality – the human cost of which can no longer be ignored – and is largely seen in a lack of access to quality public services. Tomorrow, as the elite convene in Davos, 262 million children will not go to school and almost 10,000 people will die because they cannot access healthcare.
 
“Tax avoidance by big businesses and wealthy individuals is depriving developing countries of US$170billion every year. By eliminating tax avoidance and agreeing a new set of rules to make the global tax system fairer, governments, including the Irish and UK governments, can ensure more money is spent on providing free universal public services that reduce inequality and enable people to thrive – and in many cases survive.”
 
Oxfam calls for the following actions to reduce the growing gap between the richest and the rest: 
 
All governments should deliver universal free healthcare, education and other essential public services 
To achieve this, everyone, including big businesses and wealthy individuals, need to pay their fair share of tax. This means ending tax avoidance and evasion by corporates and the wealthy. Ireland and the UK have an important role to play in this regard and needs to agree a new set of global rules and institutions to fundamentally redesign the tax system to make it fair, with developing countries having an equal seat at the table. These new rules would include increased transparency of multinational corporations (MNCs) tax affairs and implementing effective mechanisms to end profit shifting by MNCs at home and abroad. 
 
Clarken continued: “Unless our leaders at home and across the world act now to reduce inequality, the global goal agreed by world leaders to end extreme poverty by 2030 remains out of reach. But it doesn’t have to be this way – there is enough wealth in the world to provide everyone with a fair chance in life. This means working taps and toilets that don’t spread cholera and deadly disease; clinics with nurses, doctors, equipment and drugs; classrooms with teachers and supplies; a pension at the end of a hard-working life.”
 
 
ENDS
 
CONTACT: Spokespeople are available for interview. For more, please contact: Alice Dawson-Lyons at alice.dawsonlyons@oxfam.org or +353 (0) 83 198 1869
 
Notes to the editor: 
The report, methodology document explaining how Oxfam calculated the figures, and the data set is available on request.
Oxfam’s calculations are based on global wealth distribution data provided by the Credit Suisse Global Wealth Data book published in November 2018, which relate to the period June 2017-June 2018. The wealth of billionaires was calculated using the annual Forbes Billionaires list last published in March 2018. See the methodology for more details.
Every year, Oxfam’s calculations about how many people own the same wealth as half the world are based on data available at the time. Credit Suisse has improved and expanded its data set, which means we can recalculate our figures for previous years. We can now calculate that last year 43 people owned the same as half the world. This year it’s 26. The year before last it was 61. 
The World Bank report Poverty and Shared Prosperity 2018 found that global poverty declined on average 1 percentage point per year between 1990 and 2015, but only 0.6 percentage points per year between 2013 to 2015, and may be further slowing.
The UN estimates that tax avoidance by businesses costs developing countries $100bn a year.
Economist Gabriel Zucman estimates that the world’s poorest regions – Africa, Asia and Latin America – lose $70bn in annual revenue due to wealthy individuals’ use of tax havens.

Public good or private wealth?

Universal health, education and other public services reduce the gap between rich and poor, and between women and men. Fairer taxation of the wealthiest can help pay for them.

Our economy is broken, with hundreds of millions of people living in extreme poverty while huge rewards go to those at the very top.
 
The number of billionaires has doubled since the financial crisis and their fortunes grow by $2.5bn a day, yet the super-rich and corporations are paying lower rates of tax than they have in decades. The human costs – children without teachers, clinics without medicines – are huge. Piecemeal private services punish poor people and privilege elites. Women suffer the most, and are left to fill the gaps in public services with many hours of unpaid care.
 
We need to transform our economies to deliver universal health, education and other public services. To make this possible, the richest people and corporations should pay their fair share of tax. This will drive a dramatic reduction in the gap between rich and poor and between women and men.
 
Downloads (PDF): 
 
About this paper:
Author: Max Lawson, Man-Kwun Chan, Francesca Rhodes, Anam Parvez Butt, Anna Marriott, Ellen Ehmke, Didier Jacobs, Julie Seghers, Jaime Atienza, Rebecca Gowland
Post date: 21 January 2019

These five Oxfam innovations are changing the way people fight poverty

Author: Divya Amladi
 
Diaa', a Syrian refugee living in the Za'atari Camp, is a team supervisor in the Superadobe construction project that is bringing temperature-resistant homes to the camp. Photo: Nesma Nsour/Oxfam
 
From futuristic homes that adjust to extreme temperatures to apps that allow refugees to speak up for their own needs, here are just a few of the creative solutions implemented by Oxfam and our partners on the ground to help vulnerable communities take on new obstacles
 
What comes to mind when you imagine the word innovation? Is it a shiny new gadget, a hack, or an app that helps you get whatever you need at a touch of button? Or, maybe it’s a new way of seeing things? Oxfam thinks of innovations as solutions to problems that are keeping people in poverty. Here’s a look at some of the tools, programs, and yes, even apps, we developed this year to help tackle some of the challenges faced by people we work with.
 

Rice farming goes digital

 
 
Development and Partnership in Action (DPA) is one of Oxfam's partners on the ground implementing the BlocRice project. Photo provided by: Development and Partnership in Action
 
In November 2018, Oxfam launched BlocRice, a program that aims to empower rice farmers in Cambodia to increase their negotiation power for better and fairer pay. The initiative will use digital contracts between rice farmers who are working in agricultural cooperatives, exporters in Cambodia, and buyers in the Netherlands. These contracts are tools for social and economic empowerment, Solinn Lim, Oxfam in Cambodia’s program director, explained at the launch. “Farmers thus gain collective bargaining power since agricultural cooperatives will be parties to the contracts.”
 

An app for when words fail

 
The app helps aid workers address the needs of the nearly one million Rohingya people who are living in severely crowded conditions in makeshift camps in Cox’s Bazar. Photo: Kelsey-Rae Taylor/Oxfam
 
Aid workers in Cox’s Bazar, Bangladesh, encountered a challenge working with Rohingya refugees, whose language is similar but not close enough to the local dialect to ensure effective communication. With nearly one million refugees living in Cox’s Bazar, it is imperative that nongovernmental organizations clearly communicate with the refugees to allow them to speak for themselves. That’s why in June, Oxfam, Translators without Borders, and UNICEF released a glossary app with translations in the five languages spoken in the camps: Bangla, Burmese, Chittagonian, English, and Rohingya. The app is helping Oxfam and others on the ground address the needs of the Rohingya population.  
 

Growing barley grass in the desert

 
The hydroponics project is the brainchild of Oxfam engineer and Sahrawi refugee Taleb Brahim. Photo: Tineke D'haese/Oxfam
 
In the harsh climate of the western Sahara, it is nearly impossible to grow anything naturally. There are frequent sandstorms, and temperatures can exceed a blistering 122 degrees. Sahrawi refugees from western Algeria have been living in camps there for more than 40 years, and one-quarter of them face chronic malnutrition. Food assistance helps, but it’s not a long-term solution. In 2017, Oxfam started a hydroponics program—using a technique for cultivating plants that doesn’t require soil—to feed the goats the camps’ residents depend on for milk, meat, and income. So far, the project has yielded sweet success with greenhouses producing about 132 pounds of fodder each day—enough to feed 20 goats. 
 

Managing Waste

The Oxfam in Bangladesh team celebrates the installation of a centralized waste treatment plant in Cox's Bazar. Photo: Salahuddin Ahmmed/Oxfam
 
When an influx of people in a temporary refuge creates demand for latrines, and then pit latrines start to fill up, how do you treat all the waste? That was the question facing Oxfam in Bangladesh earlier this year—which has been providing water, sanitation, and hygiene support to more than 266,000 Rohingya refugees in Cox’s Bazar since 2017. In November 2018, the team in Bangladesh built an industrial-scale centralized sewage management plant at Cox’s Bazar with the capacity to process the human waste of 150,000 people. The process is completely environmentally friendly, and to our knowledge, this has been the first successful attempt to carry out something of this scale in a refugee camp.
 

Homes designed to be out of this world

 
A new construction project called the SuperAdobe is taking shape in Jordan’s Za’atari refugee camp, in which freely available materials—such as sandbags and barbed wires—are used to build simple shelters. These temporary houses are more comfortable, environmentally friendly, and more liveable than the current caravans refugees inhabit. Most importantly, the SuperAdobes are warm in the winter and cool in the summer, a necessity in a desert environment where summer temperatures reach as high as 104 degrees.

Innovative SuperAdobe Houses: Building a dignified future for Syrian refugees in Jordan

Pregnant women, children and survivors of torture abandoned in Greek camps

 
New Oxfam report highlights how system is failing to protect the most vulnerable
 
Wednesday 9th January
 
Hundreds of pregnant women, unaccompanied children and survivors of torture are being abandoned in refugee camps on the Greek islands, an Oxfam report revealed today. The report – Vulnerable and abandoned ¬¬– details how the system to identify and protect the most vulnerable people has broken down due to chronic understaffing and flawed processes
 
It includes accounts of mothers being sent away from hospital to live in a tent as early as four days after giving birth by Caesarean section. It tells of survivors of sexual violence and other traumas living in a camp where violence breaks out regularly and where two thirds of residents say they never feel safe. 
 
For much of the last year there has been just one government-appointed doctor in Lesvos who was responsible for screening as many as 2,000 people arriving each month. In November, there was no doctor at all so there were no medical screenings happening to identify those most in need of care. 
 
Jim Clarken, Oxfam Ireland Chief Executive, said: “Winter has brought heavy rain to Lesvos turning the camp that thousands call home into a muddy bog. The temperature is expected to drop below freezing in the next week and it could snow. Meanwhile, Moria camp is severely overcrowded at double its capacity. 
 
“All of these factors compound the many challenges already faced by people living in the camps, making those most vulnerable even more desperate. Pregnant women and mothers with new-born babies are sleeping in tents, without heating, while children who arrived on their own are being placed in detention after being wrongly registered as adults. 
 
“It is absolutely vital that vulnerable people are quickly identified and can access the protection and care they need, including suitable accommodation, medical and psycho-social support and access to other basic services.”
 
Under Greek and EU law, the legal definition of vulnerability specifically includes unaccompanied children, women who are pregnant or with young babies, people with disabilities and survivors of torture, among others. They should have access to the normal Greek asylum process instead of a fast-tracked process designed to send them back to Turkey.
 
The report highlights a particularly worrying trend of authorities detaining teenagers and survivors of torture after failing to recognise them as vulnerable. Legal and social workers told Oxfam they frequently came across detainees who should not have been locked up because of their age or because of poor physical or mental health. Once in detention, it is even more difficult for them to get the medical or psychological help they need.
 
In one case, a 28-year-old asylum seeker from Cameroon was locked up for five months based on his nationality, despite having serious mental health issues. No one checked his physical and mental health before he was detained and it took a month for him to see a psychologist. He said: “We had just two hours a day when we were allowed to get out of the container...The rest of the time you are sitting in a small space with 15 other men who all have their own problems.”
 
Oxfam is calling for the Greek government and EU member states to deploy more expert staff, including doctors and psychologists and to fix the screening system on the Greek islands. It said that more people seeking asylum should be transferred to mainland Greece on a regular basis – particularly the vulnerable. Oxfam is also calling on EU member states to share responsibility for receiving asylum seekers with Greece more fairly by reforming the ‘Dublin Regulation’ in line with the position of the European Parliament.
 
Oxfam has been working in Lesvos since 2015 running a programme to ensure that people seeking asylum are protected. This includes training community focal points to provide information, running workshops at a day centre for women and providing legal aid and social support for people seeking asylum through partners.
 
Full report available on request.
 
ENDS
 
CONTACT: Spokespeople are available for interview. For more, please contact: Alice Dawson-Lyons at alice.dawsonlyons@oxfam.org or +353 (0) 83 198 1869
 
 
 
Notes to editors:
 
Spokespeople are available in Lesvos and Brussels. 
Recent, high-resolution photos and video footage from around Moria camp are available.
The full transcripts of the interviews of asylum-seekers and volunteers in and around Moria camp, on which parts of the report are based, are available to the media upon request.
According to the UNHCR, the Moria camp in Lesvos was at around double its official capacity of 3,100 places, with just under 5,000 migrants living inside the camp and another 2,000 in an informal camp next to Moria, known as the Olive Grove.
A survey by Refugee Rights Europe in June 2018 found that almost two-thirds (65.7%) of respondents said they ‘never feel safe’ inside Moria, rising to 78% among children living in the camp.
In September 2018, Oxfam published a briefing arguing that the EU’s plans for ‘controlled centers’ for the reception of migrants saved at sea are modelled on the existing ‘hotspots’ described in today’s report and should not be implemented.
 

Half a million homeless Yemenis on brink of famine face winter freeze

 
More than half a million people who have fled fighting in Yemen are facing a double threat of famine and near freezing temperatures Oxfam said today, as it called on the warring parties to respect the ceasefire agreed in Sweden last week. 
 
People forced to flee their homes are set for a winter struggle to survive in areas of the country which are one step away from famine and often without adequate shelter to protect them or fuel to keep them warm as temperatures plummet. 
 
Almost 20,000 displaced people are facing winter weather in districts already experiencing famine conditions. 
 
Winter temperatures are likely to drop to below freezing in highland areas of Yemen and rain brought in by southwest winds can fall in heavy torrents, leading to flooding. Many of the 530,000 displaced people living in these areas are in makeshift shelters with no insulation or weatherproofing
 
Humanitarian agencies have identified over 75,000 displaced, vulnerable families in districts across the country who will need help to cope during the winter months, and there are likely to be more who haven’t been included in the assessment. 2658 of these families are in districts with catastrophic levels of hunger. 
 
Despite the warring parties agreeing to a ceasefire and withdrawal of forces from the key city and port of Hudaydah at negotiations in Sweden last week, there have been clashes, shelling and airstrikes in recent days. Continued fighting will disrupt aid efforts and make it harder for Yemenis to survive the winter. 
 
Muhsin Siddiquey, Oxfam’s Yemen Country Director said: “Freezing temperatures could be the final straw for families already struggling to survive desperate hunger. Imagine trying to survive a winter freeze in a tent, far from your home, without knowing where your next meal is coming from - that is the dreadful prospect facing tens of thousands of families. 
 
"It is vital that the ceasefire holds so that aid is able to reach as many people as possible this winter and those struggling to survive at least get a respite from the fighting. 
 
“While a step in the right direction, the international community cannot assume that the agreements reached in Sweden will fix everything. They need to keep the pressure on the warring parties to lay down their weapons and work towards a peaceful solution to the conflict that will give the people of Yemen real hope.” 
 
Malnourished people are less able to cope with disease and extreme temperatures. Food price rises have put the cost of basic necessities beyond the reach of many. The price of a month’s worth of essential food rose 15 per cent in October, the last month for which data is available. This basket of foods now costs 137 per cent more than it did before the conflict began. 
 
Yemen has already been described by the UN as the world’s worst humanitarian crisis. 
 
Salaries of public sector workers in the north of the country have not been paid for almost two years, leaving approximately 6.9 million people without a main source of income. Around eight million people are thought to have lost their jobs since the beginning of the conflict because of the closure of private businesses. 
 
Oxfam is providing aid, including clean water and cash to buy basic food supplies, to people forced to flee their homes. 
 
ENDS
 
For more information , please contact:
 
ROI:     Alice Dawson-Lyons on 083 198 1869 /alice.dawsonlyons@oxfam.org
 
NI:        Phillip Graham on 07841 102535 / phillip.graham@oxfam.org
 

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