Since the financial crises of 2008, some countries have improved wealth distribution, while others have become more unequal. According to the Global Wealth Report 2024, wealth inequality has increased in Latin America as well as most of Eastern Europe and Asia; however, in North America it has slightly decreased. During this period, wealth inequality decreased the most in Saudi Arabia and the United Arab Emirates, while South Africa and Brazil experienced the largest increases.
Parts of Europe, especially the Nordic countries and Germany, have had either slight reductions or modest increases in inequality.
How Wealth Inequality is Measured?
The Gini Index is a common way to measure income and wealth inequality. Organizations like the World Bank often use this index to measure and compare inequality levels across nations. The index ranges between 0 and 100, where 0 means perfect equality, and 100 means perfect inequality. A higher Gini score reflects greater inequality, while a lower score suggests a more balanced distribution of wealth.
Change in Wealth Inequality Since 2008
The table below shows wealth inequality trends in selected countries from 2008 to 2023. It highlights changes in wealth distribution over 15 years.
| Rank | Country | Wealth Inequality (2008) | Wealth Inequality (2023) | Change 2008-2023 (%) |
|---|---|---|---|---|
| 1 | Saudi Arabia 🇸🇦 | 89 | 77 | −13.3% |
| 2 | United Arab Emirates 🇦🇪 | 88 | 77 | −12.4% |
| 3 | United States 🇺🇸 | 76 | 75 | −2.4% |
| 4 | Sweden 🇸🇪 | 74 | 75 | 1.3% |
| 5 | Germany 🇩🇪 | 72 | 68 | −5.4% |
| 6 | Israel 🇮🇱 | 72 | 64 | −12.2% |
| 7 | South Africa 🇿🇦 | 70 | 82 | 17.7% |
| 8 | Brazil 🇧🇷 | 70 | 81 | 16.8% |
| 9 | Switzerland 🇨🇭 | 70 | 67 | −4.6% |
| 10 | Austria 🇦🇹 | 69 | 65 | −5.0% |
| 11 | Mexico 🇲🇽 | 68 | 72 | 6.5% |
| 12 | Netherlands 🇳🇱 | 67 | 64 | −3.6% |
| 13 | Hong Kong SAR 🇭🇰 | 66 | 63 | −5.9% |
| 14 | Indonesia 🇮🇩 | 59 | 68 | 15.1% |
| 15 | Denmark 🇩🇰 | 56 | 62 | 11.3% |
| 16 | France 🇫🇷 | 56 | 59 | 4.7% |
| 17 | Mainland China 🇨🇳 | 55 | 60 | 7.4% |
| 18 | Taiwan 🇹🇼 | 55 | 61 | 10.5% |
| 19 | Finland 🇫🇮 | 53 | 64 | 21.0% |
| 20 | Australia 🇦🇺 | 51 | 54 | 5.4% |
| 21 | Belgium 🇧🇪 | 51 | 46 | −10.7% |
| 22 | Italy 🇮🇹 | 50 | 57 | 14.9% |
| 23 | Japan 🇯🇵 | 50 | 54 | 9.4% |
| 24 | Spain 🇪🇸 | 47 | 57 | 19.8% |
| 25 | Qatar 🇶🇦 | 43 | 48 | 12.5% |
The data is sourced from the Global Wealth Report 2024.
Key Countries in Wealth Inequality Trends
Saudi Arabia and the UAE have the highest Gini Index scores, ranking as the top two countries with the highest wealth inequality. Both of these countries have seen reduced inequality since 2008.
Wealth inequality in the United States has seen only a slight decline over the past 15 years, decreasing from gini score 76 in 2008 to 75 in 2023, a change of just -2.4%. Despite being one of the world’s largest economies, the U.S. continues to experience a significant gap between the wealthy and the rest of the population. In the United States, the top 10% of households now control most of the nation’s wealth. According to the Forbes Real-Time Billionaire data, the collective net worth of America’s top 12 billionaires has surpassed $2 trillion. The majority of the US billionaires wealth skyrocketed during the pandemic.
How Global Poverty Has Changed Over the Last 15 Years (2010-2024)
Inheritance vs. Self-Made: Wealth Origins of New Billionaires Worldwide
South Africa and Brazil have seen the biggest inequality increases. South Africa has long history of economic inequalities, rooted in its history of apartheid. Even Today, the wealthiest 10% of people own more than 80% of the country’s wealth, while majority of the population live in poverty. Brazil faces similar issues; it has been considered one of the most unequal countries in the world.
Finland and Spain have seen notable inequality increase, rising by 21% and 19.8%, respectively. Changes in labor markets, technology, and fiscal policies have likely favored the wealthy in these countries. On the other hand, Germany and Switzerland have kept inequality fairly stable, with small declines.
Regional Wealth Inequality Since 2008
When looking at regions, Africa and South America have the highest inequality levels. The countries like South Africa and Brazil have the highest inequality levels in the region.
Western Europe shows mixed trends. Inequality has increased by approximately 20% in Spain and Finland. However, it has fallen by 5% in Germany and Austria, 4.5% in Switzerland, and 3.5% in the Netherlands.
The Middle East shows improvement in wealth distribution, as the countries like Saudi Arabia and the UAE have seen reduction in poverty levels since 2008.
The Rise of Wealth Inequality Globally
According to Oxfam, wealth inequality is increasing worldwide. Four new billionaires per week were added in 2024, with total billionaire wealth increasing by US$2 trillion. Additionally, billionaire wealth has risen three times faster in 2024 than in 2023, and five trillionaires are now expected within a decade. Moreover, the majority of billionaire wealth is not earned but acquired, with 60% coming from inheritance, cronyism, corruption, or monopoly power.
In conclusion, wealth inequality remains a significant global challenge. The gap between the richest individuals and the rest of the population continues to widen across many countries of the world. Since 2008, some countries have made progress in reducing inequality, while others continue to struggle with high levels of disparity. Factors such as racial discrimination, regional imbalances, and limited access to education and healthcare contribute to the growing gap between the rich and the poor worldwide.
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