The Dutch co-financing and NGO focused on development cooperation highlight the Netherlands’ destination as a multinational tax haven. “Our country must now really eliminate tax avoidance,” says Oxfam Novib director Michiel Servaes. The report shows that 10% of multinational profits end up in the Netherlands as part of a common practice of corporate financial diversion. The issue of tax avoidance by corporations exacerbates worldwide inequality in the sense that only 4% of global tax comes from that taxation of “wealth”. This, combined, with the limited taxation of the “super-rich” results in billions less toward service that could ultimately curb inequality, like healthcare, education, and infrastructure. Specifically, poorer countries miss out on about 100 billion per year due to such action, particularly affecting women and girls in those place.
Globally, the inequality picture is bleak with the world’s 2, 153 billionaires holding as much wealth as the “bottom” 4,6 billion. The richest 1% on earth hold double the wealth of the “bottom” 6,9 billion people and the world’s 22 richest men in the world collectively own more than all the women in Africa.