The wealth of the world’s 5 richest men has more than doubled since 2020

CNN
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The five richest people on Earth have gotten even richer in recent years.

Since 2020, the net worth of these billionaires has soared by 114%, accounting for inflation, to a total of $869 billion, according to Oxfam’s annual inequality report released on Sunday. If current trends continue, the world could see trillionaires for the first time in a decade.

At the same time, around 5 billion people around the world are becoming poorer as we battle inflation, war and the climate crisis. It will take almost 230 years to eliminate poverty based on the current trajectory.

The report, based on data compiled by Forbes, was prepared to coincide with the kickoff of the annual World Economic Forum meeting, which brings together an elite group of the wealthiest people and world leaders in Davos, Switzerland.

Nabil Ahmed, director of economic and racial justice at Oxfam America, said that although inequality is rising, there are some bright spots. Workers have stepped up through strikes and agreements to improve pay and working conditions. Additionally, some governments have taken the side of workers by promoting policies aimed at strengthening workers’ rights.

“We are entering a new Gilded Age, but workers, regulators, unions and community organizers are starting to see cracks in it,” Ahmed said.

Elon Musk, who runs multiple companies including Tesla and SpaceX, has been a big winner in recent years. His wealth soared to $245.5 billion at the end of November, an increase of 737% since March 2020 after accounting for inflation.

The net worth of French luxury goods giant LVMH chairman Bernard Arnault and his family rose 111% to $191.3 billion.

Amazon founder Jeff Bezos’ wealth rose 24% to $167.4 billion. Meanwhile, Oracle founder Larry Ellison’s net worth totaled $145.5 billion, an increase of 107%.

Rounding out the list of the top five richest people is Berkshire Hathaway CEO Warren Buffett, whose net worth rose 48% to $119.2 billion.

Overall, billionaires’ wealth has increased by $3.3 trillion (34%) since 2020, according to Oxfam, and their wealth has grown three times faster than the rate of inflation.

America’s billionaires, many of whom derive their wealth from stocks in the companies they lead, are $1.6 trillion richer.

In a report this year, Oxfam argues that corporations are making huge profits that enrich the rich. Seven out of the world’s 10 largest publicly traded companies have billionaire CEOs or billionaires as major shareholders.

Furthermore, according to Oxfam, the top 1% own 43% of the world’s financial assets, based on data from WealthX. In the US, this group owns 32% of him. In Asia it is 50%. In the Middle East, the top 1% control 48% of financial assets, compared to 47% in Europe.

Some 148 of the world’s largest companies made profits of nearly $1.8 trillion in the 12 months to June 2023, according to Oxfam. This is 52.5% higher than the 2018-2021 average. Oxfam notes that the oil and gas, pharmaceutical and financial industries have posted higher profits in the past year or two than on average in the previous year.

“We ignore at our peril the role of monopoly power in redistributing wealth to the top,” Ahmed said.

Oxfam is calling on the government to intervene.

Amitabh Behar, interim executive director of Oxfam International, said in a statement: “Public power can curb the rampage of corporate power and inequality, and make markets fairer and free from the control of billionaires.” . “Governments must intervene to break up monopolies, empower workers, tax huge corporate profits, and, importantly, invest in a new era of public goods and services.”