By Jomo Kwame Sundaram and Siti Maisarah Zainurin
KUALA LUMPUR, Malaysia, Aug 28 2024 – Oxfam expects the world’s first trillionaire within a decade and poverty to end in 229 years! The wealth of the world’s five richest men has more than doubled from 2020, as 4.8 billion people became poorer.

Jomo Kwame Sundaram

The 2024 Oxfam report entitled Inequality Inc. warned, “We’re witnessing the beginnings of a decade of division” as billions cope with the “pandemic, inflation and war, while billionaires’ fortunes boom”.

“This inequality is no accident; the billionaire class is ensuring corporations deliver more wealth to them at the expense of everyone else”, noted Oxfam International’s Amitabh Behar.

Driving inequality
Summarising the report, Tanupriya Singh noted gaps between rich and poor, and between wealthy nations and developing countries had grown again for the first time in the 21st century as the super-rich became much richer.

The Global North has 69% of all wealth worldwide and 74% of billionaire riches. Oxfam notes contemporary wealth concentration began with colonialism and empire.

Since then, “neo-colonial relationships with the Global South persist, perpetuating economic imbalances and rigging the economic rules in favour of rich nations”.

The report notes, “economies across the Global South are locked into exporting primary commodities, from copper to coffee, for use by monopolistic industries in the Global North, perpetuating a colonial-style ‘extractivist’ model”.

Siti Maisarah Zainurin

Inequalities within rich nations have grown, with marginalised communities worse off, giving rise to rival ethno-populisms and vicious identity politics.

Seventy per cent of the world’s largest corporations have a billionaire as principal shareholder or chief executive. These firms are worth over $10 trillion, which exceeds the total output of Latin America and Africa.

The incomes of the rich have grown much faster than for most others. Hence, the top 1% of shareholders own 43% of financial assets worldwide – half in Asia, 48% in the Middle East, and 47% in Europe.

Between mid-2022 and mid-2023, 148 of the world’s largest corporations made $1.8 trillion in profits. Meanwhile, 82% of 96 large corporations’ profits went to shareholders via stock buybacks and dividends.

Only 0.4% of the world’s largest companies have agreed to pay minimum wages to those contributing to their profits. Unsurprisingly, the poorer half of the world earned only 8.5% of world income in 2022.

The wages of almost 800 million workers have not kept up with inflation. In 2022 and 2023, they lost $1.5 trillion, equivalent to an average of 25 days of lost wages per employee.

In addition to income inequality, the 2024 Oxfam Report noted workers face mounting challenges due to stressful workplace conditions.

The gap between the incomes of the ultra-rich and workers is so huge that a female health or social worker would need 1,200 years to earn what a Fortune 100 company CEO makes annually!

Besides lower wages for women, unpaid care work subsidises the world economy by at least $10.8 trillion yearly, thrice what Oxfam terms ‘tech industry’.

Monopoly power
Oxfam notes that monopoly power has worsened world inequality. Thus, a few corporations influence and even control national economies, governments, laws, and policies in their own interest.

An International Monetary Fund (IMF) study found monopoly power responsible for 76% of the fall in the labour share of US manufacturing income.

Behar noted, “Monopolies harm innovation and crush workers and smaller businesses. The world hasn’t forgotten how pharma monopolies deprived millions of people of COVID-19 vaccines, creating a racist vaccine apartheid while minting a new club of billionaires”.

Between 1995 and 2015, 60 pharmaceutical companies merged into ten Big Pharma giants. Although innovation is typically subsidised with public funds, pharmaceutical monopolies price-gouge with impunity.

Oxfam notes the Ambani fortune in India comes from monopolies in many sectors enabled by the Modi regime. Ambani’s son’s recent extravagant wedding celebrations flaunted extreme wealth concentration worldwide.

The 2021 Oxfam report estimated that “an unskilled worker would need 10,000 years to earn what Ambani made in an hour during the pandemic and three years to earn what he made in a second”.

Unsurprisingly, the 2023 Oxfam Report noted, “India’s richest 1% own around 40% of the country’s wealth, while over 200 million people continue to live in poverty”.

Fiscal subordination
Corporations have increased their value through a “sustained and highly effective war on taxation … depriving the public of critical resources”.

As many corporations increased their profits, the average corporate tax rate dropped from 23% to 17% between 1975 and 2019. Meanwhile, around a trillion dollars went into tax havens in 2022 alone.

Of course, falling corporate tax rates are also due to “the broader neoliberal agenda promoted by corporations and their wealthy owners, often alongside Global North countries and international institutions such as the World Bank”.

Meanwhile, pressures for fiscal austerity have grown as government tax revenue has declined relatively for decades. High government indebtedness with corporate tax evasion and avoidance have exacerbated austerity policies.

Underfunded public services have adversely affected consumers and employees, especially health and social protection. Higher interest rates have worsened debt crises in developing nations.

With governments fiscally constrained from sustaining public services, privatisation advocates have become more influential, gaining greater control of public resources by various means.

Private corporations profit from discounted public asset sales, public-private partnerships and government contracts to deliver public policies and programmes.

“Major development agencies and institutions… have found common ground with investors by embracing approaches that ‘de-risk’ such arrangements by shifting financial risk from the private to the public sector”, the report states.

Access to essential public services should be universal. Insisting on private profit-making considerations deprives marginalised communities of access, worsening inequalities.

Siti Maisarah Zainurin will join a Malaysian government research institute after completing work at Khazanah Research Institute.

IPS UN Bureau

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By Oritro Karim
UNITED NATIONS, Aug 28 2024 – The ongoing humanitarian crisis taking place in Sudan, which is a result of the civil war that began last year, continues to escalate as hunger and displacement plague the population, according to spokesperson for the Secretary-General of the United Nations, Stéphane Dujarric, during a press briefing on August 21, 2024.

The civil war broke out in April 2023 when the Sudan Armed Forces and the Rapid Support Forces began a fierce armed conflict in the capital city of Khartoum. According to reports by the United Nations Office for the Coordination of Humanitarian Affairs (OCHA), over 18,800 civilians have been killed and over 33,000 have been injured in the crossfire.

Additionally, Edem Wosornu, Director of Operations and Advocacy at OCHA, stated in a press briefing on August 6, 2024 that the extended siege and conflict between the two parties has resulted in many women and girls being raped.

Food insecurity is currently the most pressing issue facing Sudan. Stephen Omollo, Assistant Executive Director for Workplace and Management of the World Food Programme (WFP), highlighted that “there is famine in Zamzam camp near El Fasher in North Darfur and that other areas in Darfur and elsewhere are at high risk, with more than half of the country’s population facing crisis levels of hunger.”

The WFP and the International Organization for Migration are currently in the process of providing food to areas most affected by famine, such as West Darfur, where 13,000 people are facing the risk of starvation. Wosornu added that the 26 million people facing acute hunger in Sudan are three times the population of New York City.

A spokesperson for the United Kingdom’s UN Representative added that approximately 100 Sudanese people will die of starvation every day until the conflict is settled.

Additionally, as a result of heavy armed conflict in the capital city of Khartoum and the Darfur region, many communities have been pushed into displacement. The Sudan conflict is considered to be the world’s largest displacement crisis, with as many as 10.7 million people being displaced to other areas of Sudan and more fleeing to neighbouring nations, according to OCHA.

“Since the start of the current round of hostilities in Sudan, more than 780,000 men, women and children have crossed the border and headed to Renk town,”  Dujarric stated.

Furthermore, over 5 million children have been internally displaced and 19 million children lack access to education as a result of 90 percent of schools being shut down. This makes Sudan one of the worst education crises in the world.

For the effective use of humanitarian aid, it is imperative that the conflict stop as soon as possible. Constant sieges and battles prevent the humanitarian community in Sudan as well as the United Nations from providing life-saving assistance.

Aid trucks have been severely obstructed in Sudan. Sudanese authorities have impeded the use of the Adre crossing, which is the most effective route in delivering assistance. In addition, many humanitarian workers have been attacked, kidnapped, and harassed.

Wosornu states, “The conflict must stop to allow for the rapid delivery of humanitarian assistance across the country. The warring parties must uphold their obligations under international humanitarian law. Also needed are rapid, safe and unimpeded humanitarian access across Sudan through all possible routes and more resources, including flexible funding.” She adds that if these conditions were met, the current situation in Sudan would be far less dire.

Dujarric added that “peacekeepers established a temporary base in the area (of Renk, Sudan) and are helping to ensure the safe delivery of aid, providing protection to deter violence between diverse communities forced to live together in congested conditions and share dwindling resources.”

Currently, Sudanese authorities deny that there is a severe hunger crisis and that there is no obstruction of humanitarian aid. A delegate for Sudan stated that conditions in a Zamzam displacement camp do not meet the criteria for a declaration of famine. Additionally, they stated that there are no deaths from starvation. They reiterated that aid is not being impeded by the Sudanese government; rather, fault lies with the Rapid Support Forces.

The UN and the WFP are currently negotiating with Sudanese authorities on an increase in aid trucks as well as increased use of the Adre Passage, which makes key distribution points much more easily accessible. It is essential for aid to be supplied on a constant basis, as there are 12 areas that face significant levels of famine.

Additionally, the UN predicts that approximately 2.7 billion dollars will be needed for the Sudan Humanitarian Appeal. As of the publication date, this plan has only been 32 percent funded, with a total of 874 dollars being raised for this effort. It is crucial for donors to financially contribute as Sudan is currently on the brink of collapse, having the world’s biggest crises in displacement, hunger, education, and violence.

IPS UN Bureau Report

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By Oritro Karim
UNITED NATIONS, Aug 28 2024 – The ongoing humanitarian crisis taking place in Sudan, which is a result of the civil war which began last year, continues to escalate as hunger and displacement plague the population, according to spokesperson for the Secretary-General of the United Nations, Stéphane Dujarric, during an August 21st press briefing.

The civil war broke out in April 2023 when the Sudan Armed Forces and the Rapid Support Forces began a fierce armed conflict in the capital city of Khartoum. According to reports by the United Nations Office for the Coordination of Humanitarian Affairs (OCHA), over 18,800 civilians have been killed and over 33,000 have been injured in the crossfire.

Additionally, Edem Wosornu, Director of Operations and Advocacy at OCHA, stated in a press briefing on August 6th that extended siege and conflict between the two parties has resulted in many women and girls being raped.

Food insecurity is currently the most pressing issue facing Sudan. Stephen Omollo, Assistant Executive Director for Workplace and Management of the World Food Programme (WFP), highlighted that “there is famine in Zamzam camp near El Fasher in North Darfur and that other areas in Darfur and elsewhere are at high risk, with more than half of the country’s population facing crisis levels of hunger”.

The WFP and the International Organization for Migration is currently in the process of providing food to areas most affected by famine, such as West Darfur, where 13,000 people are facing the risk of starvation. Wosornu added that the 26 million people facing acute hunger in Sudan is three times the population of New York City.

A spokesperson for the United Kingdom’s UN Representative added that approximately 100 Sudanese people will die of starvation every day until the conflict is settled.

Additionally, as a result of heavy armed conflict in the capital city Khartoum and the Darfur region, many communities have been pushed into displacement. The Sudan conflict is considered to be the world’s largest displacement crisis, with as many as 10.7 million people being displaced to other areas of Sudan and more fleeing to neighbouring nations, according to OCHA.

“Since the start of the current round of hostilities in Sudan, more than 780,000 men, women and children have crossed the border and headed to Renk town”, Dujarric stated.

Furthermore, over 5 million children have been internally displaced and 19 million children lack access to education as a result of 90 percent of schools being shut down. This makes Sudan one of the worst education crises in the world.

For the effective use of humanitarian aid, it is imperative that the conflict stops as soon as possible. Constant sieges and battles prevent the humanitarian community in Sudan as well as the United Nations from providing life-saving assistance.

Aid trucks have been severely obstructed in Sudan. Sudanese authorities have impeded the use of the Adre crossing, which is the most effective route in delivering assistance. In addition, many humanitarian workers have been attacked, kidnapped, and harassed.

Wosornu states “the conflict must stop to allow for the rapid delivery of humanitarian assistance across the country. The warring parties must uphold their obligations under international humanitarian law. Also needed are rapid, safe and unimpeded humanitarian access across Sudan through all possible routes and more resources, including flexible funding”. She adds that if these conditions were met, the current situation in Sudan would be far less dire.

Dujarric added that “peacekeepers established a temporary base in the area (of Renk, Sudan) and are helping to ensure the safe delivery of aid, providing protection to deter violence between diverse communities forced to live together in congested conditions and share dwindling resources”.

Currently, Sudanese authorities deny that there is a severe hunger crisis and that there is no obstruction of humanitarian aid. A delegate for Sudan stated that conditions in a Zamzam displacement camp do not meet the criteria for a declaration of famine. Additionally, they stated that there are no deaths from starvation. They reiterated that aid is not being impeded by the Sudanese government, rather, fault lies with the Rapid Support Forces.

The UN and the WFP is currently negotiating with Sudanese authorities on an increase of aid trucks as well as increased use of the Adre Passage, which makes key distribution points much more easily accessible. It is essential for aid to be supplied on a constant basis as there are 12 areas that face significant levels of famine.

Additionally, the UN predicts that approximately 2.7 billion dollars will be needed for the Sudan Humanitarian Appeal. As of the publication date, this plan has only been 32 percent funded, with a total of 874 dollars being raised for this effort. It is crucial for donors to financially contribute as Sudan is currently on the brink of collapse, having the world’s biggest crises in displacement, hunger, education, and violence.

IPS UN Bureau Report

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By Aishwarya Bajpai
NEW DELHI, Aug 28 2024 – Climate change forces millions of India’s fishworkers to venture beyond the country’s exclusive economic zone into the perilous high seas.

In their search for a better catch, approximately 4 million of India’s 28 million fishworkers often face increased risks of capture by neighboring countries.

“Earlier, fish used to come close to the shore, but now we have to go farther out to find them. Our fishing season lasts about a month, and it takes several days just to reach our fishing spot. This time keeps increasing with each season, and lately, the number of days we spend at sea has doubled,” Jivan R. Jungi, a fishworker leader from Gujarat, India, told IPS.

It has not only made the lives of fishworkers challenging, but it also affects their families, accounting for about 16 million people, according to official data.

India, a South Asian country with a 7,500-kilometer coastline, relies on aquatic products such as fish and shrimp for its national income.

People involved in the fish and related industries. Source: Ministry of Fisheries, Animal Husbandry & Dairying Graphic: Aishwarya Bajpai/IPS

According to a recent report by the Indian Express, India exported about 17,81,602 metric tons (MT) of seafood, generating a substantial revenue of ₹60,523.89 crore (USD 7.38 billion) in FY 2023–24.

“The government does not take care of us at all, despite the high profit margins in the fishing industry. They fail to provide even the basic benefits that the government can do, like fire safety,” Jungi told IPS. “Our boats are made of wood and run on diesel, which increases the risk of fire. We’ve been requesting safety measures or compensation for years, but nothing has been done, even as we face the growing challenges of climate change.”

Their plight is exacerbated by the Indian government’s policies, including a recent provision in the National Fisheries Policy 2020, which promotes “deep-sea fishing and fishing in areas beyond the national jurisdiction to tap under-exploited resources.” This policy aims to generate more revenue for the nation but does so at the expense of the fishworkers.

Temperature Rises Compare With Hiroshima Bomb

A report by Down to Earth, quoting a study by Science Direct, indicates that the Indian Ocean could experience a temperature rise of 1.7–3.8 degrees Celsius between 2020 and 2100.

To illustrate the severity, Roxy Mathew Koll, a climate scientist at the Indian Institute of Tropical Meteorology, is quoted as saying: “The projected increase in heat content is comparable to adding the energy of one Hiroshima atomic bomb explosion every second, continuously, for an entire decade.”

Fishworkers along the entire Indian coastline face mounting challenges, leading to conflicts with neighboring countries such as Pakistan, Indonesia, Sri Lanka, and Saudi Arabia.

According to India’s Ministry of External Affairs, between 2020 and 2022, more than 2,600 Indian fishworkers were imprisoned in ten countries across the Indian Ocean for maritime border incursions. The highest number of arrests occurred in Pakistan (1,060), followed by Saudi Arabia (564) and Sri Lanka (501).

People involved in the fish and related industries. Source: Ministry of Fisheries, Animal Husbandry & Dairying Graphic: Aishwarya Bajpai/IPS

At Sea, In Danger

The issue of maritime boundaries and fishing rights goes deeper, often causing conflicts among fishworkers from different countries. When fishworkers cross into another country’s waters and catch fish, the local fishworkers claim ownership of the catch, leading to disputes.

This tension among fishworkers can have severe consequences. Moreover, after the arrest, instead of being treated as civilian prisoners, they sometimes face dire conditions, including the risk of death in foreign prisons.

As reported by the Ministry of External Affairs, nine Indian fishermen died in Pakistani jails over the past five years. In 2022, an Indian fisherman named Maria Jesind reportedly had been killed in an Indonesian prison.

This situation is too familiar to fishworkers, particularly those from India and Pakistan, who have long been caught in the political crossfire between their governments.

Historically, the lack of a clear demarcation line has forced fishworkers deeper into the sea without adequate security. As a result, both countries have been arresting fishworkers from each other’s territories for years now.

Last year, 499 fishworkers were released by Pakistan on July 3, 2023, after numerous attempts at their release by civil society organizations. These fishworkers, charged with violating the Passport Act for trespassing on water borders, are imprisoned after court trials, usually receiving sentences of a few months. The official sentence is typically six months, but the release of these fishworkers is rarely prompt, with many spending more than five years.

“But several have died. Balo Jetah Lal died in a Pakistani prison in May 2023; Bichan Kumar alias Vipan Kumar (died April 4, 2023); Soma Deva (died May 8, 2023); and Zulfiqar from Kerala (died May 6, 2023) in Karachi prison,” Jungi says, adding, “Vinod Laxman Kol died on March 17 in Karachi and his mortal remains were brought to his village in Maharashtra on May 1, 2024.”

While the arrests and deaths affect the families of the fishworkers, they also have a broader impact on the community, challenging their way of life and livelihood.

Fishworkers now demand that they not be arrested or shot at, but rather pushed back if they cross maritime boundaries.

After their release, the fishworkers struggle to make ends meet because the arresting government rarely returns their boats, resulting in a lifelong debt of around Rs. 50–60 lakhs (USD 5–6 million) per boat. As a result, the workers now demand that their boats be returned and that the government ensure that the families of arrested fishworkers receive support through policies and schemes, including educational opportunities for their children, to prevent them from falling into extreme poverty.

IPS UN Bureau Report

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