India’s richest 1% has more than 4 times wealth held by bottom 70%: Oxfam

Last updated on: January 20, 2020 at 10:14 pm IST


NEW DELHI, JANUARY 20: India’s richest 1% hold more than 4-times the wealth held by 953 million people who make up for the bottom 70% of the country’s population, while the total wealth of all Indian billionaires is more than the full-year budget, a new study said on Monday.
Releasing the study ‘Time to Care’ here ahead of the 50th Annual Meeting of the World Economic Forum (WEF), rights group Oxfam also said the world’s 2,153 billionaires have more wealth than the 4.6 billion people who make up 60% of the planet’s population.
The report flagged that global inequality is shockingly entrenched and vast and the number of billionaires has doubled in the last decade, despite their combined wealth having declined in the last year. “The gap between rich and poor can’t be resolved without deliberate inequality-busting policies, and too few Governments are committed to these,” said Oxfam India CEO Amitabh Behar, who is here to represent the Oxfam confederation this year.
The issues of income and gender inequality are expected to figure prominently in discussions at the 5-day summit of the WEF, starting Monday. The WEF’s annual Global Risks Report has also warned that the downward pressure on the global economy from macro-economic fragilities and financial inequality continued to intensify in 2019.
Concern about inequality underlies recent social unrest in almost every continent, although it may be sparked by different tipping points such as corruption, constitutional breaches, or the rise in prices for basic goods and services, as per the WEF report.
Although global inequality has declined over the past 3 decades, domestic income inequality has risen in many countries, particularly in advanced economies and reached historic highs in some, the Global Risks Report flagged last week.
The Oxfam report further said “sexist” economies are fuelling the inequality crisis by enabling a wealthy elite to accumulate vast fortunes at the expense of ordinary people and particularly poor women and girls. Regarding India, Oxfam said the combined total wealth of 63 Indian billionaires is higher than the total Union Budget of India for the fiscal year 2018-19 which was at Rs 24,42,200 crore.
As per the report, it would take a female domestic worker 22,277 years to earn what a top CEO of a technology company makes in 1 year. With earnings pegged at Rs 106 per second, a tech CEO would make more in 10 minutes than what a domestic worker would make in 1 year. It further said women and girls put in 3.26 billion hours of unpaid care work each and every day ~ a contribution to the Indian economy of at least Rs 19 lakh crore a year, which is 20 times the entire education budget of India in 2019 (Rs 93,000 crore).
Besides, direct public investments in the care economy of 2% of GDP would potentially create 11 million new jobs and make up for the 11 million jobs lost in 2018, the report said.
Behar said the gap between rich and poor cannot be resolved without deliberate inequality-busting policies, and too few Governments are committed to these. He said women and girls are among those who benefit the least from today’s economic system. “They spend billions of hours cooking, cleaning and caring for children and the elderly. Unpaid care work is the ‘hidden engine’ that keeps the wheels of our economies, businesses and societies moving.
“It is driven by women who often have little time to get an education, earn a decent living or have a say in how our societies are run, and who are therefore trapped at the bottom of the economy,” Behar added.
Oxfam said Governments are massively under-taxing the wealthiest individuals and corporations and failing to collect revenues that could help lift the responsibility of care from women and tackle poverty and inequality.
Besides, the Governments are also underfunding vital public services and infrastructure that could help reduce women and girls’ workload, the report said. As per the global survey, the 22 richest men in the world have more wealth than all the women in Africa.
Besides, women and girls put in 12.5 billion hours of unpaid care work each and every day ~ a contribution to the global economy of at least USD 10.8 trillion a year, more than thrice the size of the global tech industry. (PTI)