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Bernard Chan

Oxfam’s core mission globally is to combat poverty and social injustice and address the root causes of inequality. The organisation operates through various programmes dedicated to economic justice, gender equality, climate action and humanitarian response, all aimed at fostering a world where everyone can thrive and live with dignity.
As a former vice-chairman of Oxfam Hong Kong, I have always been inspired by the organisation’s core values and significant contributions to social justice. Economic inequality is one of the most pressing global challenges today, and like climate change, it demands our immediate attention.
This urgency was underscored recently when a troubling episode of The Lang and O’Leary Exchange, initially broadcast by Canada’s CBC News Network in 2014, resurfaced on social media, highlighting the ongoing relevance of these issues.
In this episode, co-host Amanda Lang referenced a global survey by Oxfam, revealing that a small number of ultra-wealthy individuals and corporations controlled a disproportionate share of the world’s wealth. Co-host Kevin O’Leary reacted with unexpected zeal, suggesting that this concentration of wealth should motivate those living in extreme poverty to strive harder, leaving Ms Lang visibly shocked.
Fast forward 10 years to today, and the trend continues. According to the latest Oxfam briefing paper “Inequality Inc.”, since 2020, the richest five men in the world have doubled their fortunes while almost five billion people globally have become poorer.
Income inequality has become a pressing issue in China. The country has undergone a massive explosion in wealth creation which, according to the World Bank, moved almost 800 million people out of extreme poverty. In the process, it also created the second largest number of billionaires in the world, trailing only the United States.

In China, the issue goes beyond the divide between the super-rich and the middle class. The government is focused on elevating more people from the lower tiers to the middle classes. This strategy fosters an oval-shaped economy that encourages broader wealth distribution instead of a pyramid economy concentrating wealth at the top. Consequently, the central government is implementing measures to address disparities and improve the well-being of the growing lower and middle classes.
China’s approach differs from that of many Western nations, where wealth redistribution is little more than rhetoric. China’s socialist framework enables a controlled strategy. The government recognises that allowing wealth to be concentrated among the few is not in the people’s best interests.
Recent measures, such as clawbacks of bonuses and caps on salaries for executives in the financial sector and some higher-value state-owned enterprises, illustrate a commitment to balancing shareholder value with society’s broader needs. They emphasise that profit cannot come at the expense of social welfare. Such intervention in capitalist societies is deemed unacceptable.
China is actively embracing the philosophy of common prosperity, a concept championed by President Xi Jinping. This initiative aims to ensure that the benefits of economic growth are equitably shared among all citizens, promoting policies that enhance access to essential services such as education and healthcare to foster a more inclusive society.
In contrast, examining income inequality alongside the expenditures on high-profile US presidential elections highlights significant disparities in resource allocation.
According to Voice of America, the 2020 US presidential and congressional races cost an astounding US$16.4 billion, and projections suggest that the 2024 races will be even more expensive. It highlights the substantial influence that large donors and lobbyists wield in shaping the political landscape, overshadowing the voices of ordinary citizens and raising concerns about the integrity of democratic processes.


In Japan, by contrast, public interest capitalism has long been a cornerstone of corporate culture. This approach prioritises social responsibility, sustainability and environmental well-being alongside profitability. The Japanese concept of keiretsu fosters collaboration among companies, cultivating long-term relationships with employees and communities and promoting a culture of mutual support and shared success.
While income inequality is a global problem, China’s and Japan’s approaches are committed to tackling the issue of integrating economic growth with social and environmental responsibility.
As China navigates these complexities, the effectiveness of its model remains to be seen. Will a compromise between profit and social responsibility work in the long term? For now, it is clear that addressing income inequality is crucial for maintaining stability and promoting prosperity.
Meaningful wealth redistribution is both a challenge and a catalyst for progress. China has the chance to lead by example, showcasing a model that prioritises the aspirations of its growing middle class as even more people are brought out of the poverty trap. The challenge is finding a fair and effective way to incentivise wealth creation for the broader population while reducing income inequality.


China’s gig economy

Why a Chinese farmer’s reunion with a US teacher moved me to tears

The unspoken reason my Chinese friends choose America

Record influx of university graduates pushes China’s youth unemployment rate to 18.9%

China society

Why China is taking wealth redistribution seriously

Women ride a scooter near a poster promoting the Chinese Dream in Beijing in June 2022. The Chinese government recognises that allowing wealth to be concentrated among the few is not in the people’s best interests. Photo: AP

Elderly people sitting in front of a house in a rural area in Taian, China’s eastern Shandong province, in January 2023. According to the World Bank, China has lifted almost 800 million people out of extreme poverty. Photo: AFP

How China’s move to cap salaries is redefining finance’s role in society

A pedestrian walks through Pudong’s Lujiazui Financial District in Shanghai in January 2023. The government has announced plans to cap the annual salaries of financial workers at around 3 million yuan as part of efforts to redistribute talent and resources to more productive parts of the economy. Photo: Bloomberg

People walk past an office of the Bank of Beijing in the capital on July 9. Financial institutions will need to find innovative ways to attract and retain talent in the new landscape. Photo: AFP

What China watchers should know about where the country is headed

A giant screen shows President Xi Jinping attending the Communist Party’s third plenary session in Beijing on July 18. Photo: Reuters

The Communist Party’s Politburo Standing Committee members (from the front) Xi Jinping, Li Qiang, Zhao Leji, Wang Huning, Cai Qi, Ding Xuexiang and Li Xi attend the third plenum held from July 15 to 18 in Beijing. Photo: Xinhua via AP

A farmer works at an agricultural base in Jinping County, Guizhou province on March 11, 2020, amid China’s poverty alleviation campaign. Photo: Xinhua

How China’s middle class is creating a ‘green gold’ rush in Africa

Employees pack fresh avocados into boxes at a factory in Limuru, Kenya, on August 2, 2022. Photo: Xinhua

Kenyan avocados are displayed at the China International Import Expo in Shanghai on November 7, 2022. Photo: Xinhua

A volunteer grinds coffee beans with children at the Ethiopia pavilion of the China-Africa Economic and Trade Cooperation Promotion Innovation Demonstration Park, in Changsha, Hunan province, on August 30. Photo: Xinhua

An entrepreneur introduces products to a consumer in Yiwu, Zhejiang province, on August 12. Photo: Xinhua

Chinese now more likely to blame being poor on inequality, unfair system, study shows

Pedestrians are pictured in the Wangfujing shopping district in Beijing on Monday. A long-term study has revealed changing attitudes about the reasons for being poor in China, and a signal of growing discontent. Photo: Bloomberg

Hong Kong wealth gap narrows over past 15 years, but rival Singapore sees 23% increase

The gap between rich and poor in Hong Kong has narrowed, a survey by an international investment bank has found. Photo: Jelly Tse

International investment bank UBS says the gap between rich and poor in Hong Kong has narrowed over the past 15 years, but widened in Singapore. Photo: Eugene Lee

Opinion

China Opinion

World Opinion

Asia Opinion

News

China

Growing income inequality is a global problem as pressing as climate change. Creative interventions, anathema to the West, deserve a chance


Growing income inequality is a global problem as pressing as climate change. Creative interventions, anathema to the West, deserve a chance.


Poverty

Poverty in China

Xi Jinping’s poverty alleviation campaign

Japan

United States

Millionaires, billionaires and trillionaires

Expresses the views, ideas and conclusions of the author. (Eg. Enough of Crazy Rich Asians, think of crazy poor Hongkongers.)


Why China is taking wealth redistribution seriously

.css-1c6uqr6{color:inherit;font-weight:inherit;font-size:inherit;font-family:inherit;line-height:inherit;overflow-wrap:break-word;}Growing income inequality is a global problem as pressing as climate change. Creative interventions, anathema to the West, deserve a chance

Growing income inequality is a global problem as pressing as climate change. Creative interventions, anathema to the West, deserve a chance