LAGOS: Just four of Africa’s richest men now hold more wealth than half of the continent’s 750 million people, according to a blistering new report from Oxfam, which highlights how surging inequality is threatening democracy, development, and stability across the continent.
The anti-poverty organization named Aliko Dangote, Nigeria’s cement tycoon and Africa’s richest man. While the report did not name the others, Forbes lists South Africans Johann Rupert and Nicky Oppenheimer, and Egypt’s Nassef Sawiris among the top four wealthiest Africans.
Billionaire Wealth Soars 56% in Five Years
Oxfam’s analysis revealed that African billionaires’ wealth has grown by 56% since 2019, with the richest few benefiting disproportionately. The surge comes as nearly half of Africa’s population lives in poverty, and 23 of the 50 most unequal countries in the world are located on the continent.
“Government policies are skewed in favour of the ultra-rich, and the poor are paying the price,” the report stated bluntly.
‘Rigged’ Systems: Tax Havens, IMF Policies Fuel Inequality
The charity slammed African governments for failing to implement progressive taxation, which would ensure the super-rich contribute fairly. It also cited regressive IMF policies, illicit financial flows, and widespread use of tax havens as major drivers of inequality.
The continent is estimated to lose $88.6 billion every year to illicit financial outflows, further draining resources that could otherwise be used for social services.
Democracy on the Brink: Inequality Undermining Governance
Oxfam warned that rising inequality is not just an economic issue — it’s a threat to democracy itself.
In Nigeria, for example, Oxfam noted how exorbitant political party fees prevent ordinary citizens from running for office, while vote-buying thrives in a nation where millions live below the poverty line.
“Political capture by the wealthy is weakening public institutions and derailing pro-poor policies,” the report warned.
Africa’s Tax Systems Lag Behind Global Standards
According to the report, Africa’s tax systems are three times less effective at redistributing wealth from the top 1% compared to the global average. A review of 151 countries showed that Africa is the only region where effective tax rates have not increased since 1980.
Despite public pressure, nearly 90% of African countries have reversed progressive reforms since 2022, including those related to labour rights, taxation, and minimum wages, Oxfam added.
What Needs to Change: Oxfam’s Recommendations
Oxfam is calling for:
- Overhauling tax administrations to boost revenue collection
- Cracking down on illicit financial flows and offshore wealth
- Reintroducing and enforcing policies that protect labour rights and ensure living wages
- Reclaiming public institutions from elite influence
Without urgent reform, the charity warns, Africa risks entrenching a “two-tier society” where the wealthy dominate politics and the poor remain permanently locked out of opportunity.
