Reported about 1 year ago
Although Europe has made achievements in controlling income disparities and increasing social mobility, the 2023 Global Wealth Report by Credit Suisse and UBS Group reveals significant disparities in average wealth among European countries. The wealth gaps between Western and Northern European countries are bigger compared to those in Eastern and Southern Europe, with countries like Denmark having over nine times more wealth than Romania and a huge gap between Switzerland as the wealthiest and Turkey as the poorest. The report measures the wealth of adults in each country, with Switzerland and Luxembourg topping the list with average wealth exceeding 650,000 euros and 550,000 euros respectively, while Bosnia and Herzegovina and Turkey are at the bottom with per capita wealth around 32,000 euros and 17,000 euros respectively. Iceland, Denmark, and Norway have higher average wealth ranging from just over 300,000 to over 400,000 euros, reflecting their high living standards and comprehensive social welfare. In contrast, Eastern European countries like Lithuania, Slovakia, and Hungary have lower average wealth of around 50,000 to 60,000 euros, indicating economic challenges such as low wages and underdeveloped financial markets. The report also highlights the importance of median wealth in reflecting the wealth status of the general population, with Iceland leading in Europe with a median adult wealth of about 392,000 euros, followed closely by Luxembourg. On the other hand, Turkey has the lowest median wealth at 5,212 euros, with Serbia and Bosnia and Herzegovina ranking second to last around three times higher than Turkey at just over 15,000 euros each. Germany, often seen as an economic powerhouse, has a median adult wealth of about 63,000 euros, lower than other Western and Northern European countries like the UK at 144,000 euros and France at 126,000 euros. Discrepancies between average and median wealth in individual countries can indicate whether wealth is concentrated among a few individuals, as seen in Switzerland where the average wealth is around 650,000 euros but the median is close to 159,000 euros, highlighting possible imbalance in wealth distribution. Equal wealth distribution is an important concern for the people in the EU, as reflected in a 2021 survey by the EU's official polling agency showing that 'ensuring equal opportunities' is a top priority for the economic and social progress of the EU.
Source: YAHOO