For the first time in 25 years, according to a study, extreme wealth and extreme poverty are simultaneously increasing. The world's richest have cashed in about two-thirds of the growth in global wealth.
Corporations and the super-rich are the winners from the COVID-19 pandemic and energy crisis, aid organization Oxfam finds.
"The richest percentage of the world's population has captured about two-thirds of the increase in global wealth," the report says.Survival of the richest", published on the opening day of the World Economic Forum in Davos, Switzerland.
According to the organization which is critical of capitalism, in Germany the trend is even more evident. 81 percent of the income from the increase in overall wealth between 2020 and 2021 in Germany has gone to the richest percentage of the population.
The combined wealth of all female billionaires around the world as of 2020 has grown by an average of $2.7 billion every day.
1.7 billion people in poverty
Oxfam says at least 1.7 billion people currently live in countries where inflation is higher than wage growth.
One in ten people on the planet is hungry or about 828 million people. 60 percent of the world's population suffering from hunger are women and girls.
German Development Minister: Back years later
Even the German Minister of Development, Svenja Schulze, considers this development to be dangerous.
"It is a sign of alarm, that the gap between the poor and the rich is getting deeper and deeper. The pandemic, conflicts and especially the Russian attack have set us back years in poverty, hunger, health or education - while the rich have gotten even richer," says Schulze.
The social democratic politician drew attention to the fact that "if we around the world do not avoid inequality, we will not be able to cope with crises".
Schulze says it's important to create social safety nets to support people when they lose their income, home, or job, and when they become parents.
Oxfam calls for increased taxes
Oxfam seeks as a way out of the crisis the increase of taxes for the rich. In some countries, the poorest face higher taxes than billionaires.
According to Oxfam, worldwide only four percent of taxes are income from wealth tax. This organization expects the German federal government to specifically apply a tax on unusual profits at a high level during the time of the energy crisis. Such so-called super earnings should be taxed at a minimum of 50 percent.
In addition, the wealth tax should be reinstated. A lump sum tax is also needed. This money should be invested in education, health and social security systems. /Deutsche Welle/