JOHANNESBURG - As global inequality reaches alarming levels, experts have called for urgent steps to address the crisis.
The G20 Inequality report by the Extraordinary Committee of Independent Experts on Global Inequality commissioned by President Cyril Ramaphosa paints a dire picture of the distribution of wealth and ability around the world.
The report follows consultation with leading economists and inequality experts across the world.
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According to the report 83% of all countries, accounting for 90% of the world’s population, meet the World Bank’s definition of high inequality.
The report also warns that countries with high inequality are seven times more likely to experience democratic decline than more equal countries.
The report which cited data from the World Inequality Lab found that the richest 1% captured 41% of new wealth since the year 2000, while the bottom 50% of humanity have increased their wealth by just 1%.
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While inequality between all individuals in the world has fallen in recent decades largely due to income growth in China,the report cautions that the prospects for further reductions are uncertain.
Imraan Valodia, Professor of Economics at Wits University, one of the experts says the report shows grave concerns on the rise of inequality further raising questions on the future of democracy.
Valodia says the rich continue to be wealthy and have an influence the current outcomes in the political space.
"This is not just in the country that they live in but across the world," he said.