Rising Inequality and Crony Capitalism in Southeast Asia
A recent report by Oxfam highlights the threats of rising inequality and crony capitalism to Southeast Asia's growth.
Weak taxation policies and governance gaps are found to reinforce wealth imbalances and divert resources from public spending, according to the report.
Key Findings
- The richest 10% of Asians took between 60-77% of national income.
- The poorest half received only 12-15% of national income.
- In 2023, the top 10% captured 58% of income in India, 52% in Thailand, 46% in Indonesia, and 43% in both Vietnam and China.
The richest 1% hold 40.1% of national wealth in India and 31.4% in China.
Author's summary: Inequality and crony capitalism hinder Southeast Asia's growth.