In a groundbreaking move, South African President Cyril Ramaphosa has unveiled a G20 experts taskforce dedicated to examining the pressing issue of global wealth inequality. This historic initiative, the first of its kind, aims to assess the ramifications of wealth disparity on growth, poverty, and the efficacy of multilateralism as world leaders prepare to gather in Johannesburg this November.
Chaired by Nobel Economics Prize laureate Joseph Stiglitz, the six-member taskforce is tasked with exploring innovative solutions to combat a phenomenon that has only worsened in recent years. It brings together a diverse set of experts, including notable figures such as Winnie Byanyima, Executive Director of UNAIDS, and Jayati Ghosh, a development economist from the University of Massachusetts Amherst.
Ramaphosa, whose presidency has sought to amplify the voices of poorer nations within the G20, expressed his pride in spearheading this initiative, which he believes is crucial for addressing the systemic inequalities plaguing nations worldwide. He noted that global awareness of inequality has grown, especially in the wake of COVID-19, which starkly revealed the disparities in resources, including the distribution of vaccines and access to basic healthcare. “People are seeing the impacts of rising food and energy prices, debt, and trade wars, all driving this growing gap between the rich and the rest of the world,” Ramaphosa stated.
The taskforce’s formation comes amidst alarming statistics from the World Inequality Report, which revealed that in 2021, the poorest half of the global population owned a mere 2% of the world’s wealth, while the richest 10% controlled a staggering 76%. This growing divide suggests the emergence of a new oligarchy, which Ramaphosa warns could undermine economic progress globally.
Stiglitz echoed these sentiments, asserting that the taskforce’s mission is to transform public frustration over inequality into actionable policy proposals. “Inequality was always a choice, and G20 nations have the power to choose a different path,” he emphasised, highlighting the responsibility of leading economies in combatting this crisis through their economic and social policies.
The upcoming G20 leaders’ summit in Johannesburg is expected to see these proposals presented, with a particular focus on crafting strategies that could alleviate the challenges faced by the most disadvantaged countries.
*Additional reporting from Reuters