On the 10th, international anti-poverty organization Oxfam released a report stating that the combined wealth of the four richest people in Africa surpasses that of over half the continent’s population—approximately 750 million people.
According to AFP, Oxfam pointed out that in the past five years, the total wealth of African billionaires has soared by 56%, with the wealth of those at the very top increasing even more dramatically.
The report also noted that nearly half of the world’s 50 most unequal countries are in Africa.
Oxfam revealed that government policies are unfavorable to the poor, yet provide more room for Africa’s super-rich to accumulate wealth.
The report said: "Most African countries have not fully utilized progressive tax rates to effectively tax the super-rich and address the wealth gap."
However, the report also attributed the worsening inequality to “regressive” policies of the IMF and illicit financial flows, particularly those involving hiding wealth overseas through tax havens.
Despite the growing wealth gap, Oxfam said that since 2022, 90% of African countries have seen backsliding in policies regarding tax systems, labor rights, and minimum wages. Oxfam believes, nonetheless, that these policies are necessary in helping to address inequality issues.
Oxfam recommends that African countries thoroughly reform their tax authorities.
It pointed out that in terms of redistributing income from the top 1% through taxation, Africa’s efficiency is only one-third of the global average.
Oxfam said that a study of the tax systems in 151 countries found that “Africa is the only region that has not raised its effective tax rate since 1980.”