Rich people from these countries hide the most money offshore

New study shows which countries have the largest proportions of their GDP in tax havens

TRD WEEKEND EDITION /
Sep.September 16, 2017 11:20 AM

A new study published this month sets out to determine which countries have the largest proportions of their GDP in offshore accounts.

The published study, “Who Owns the Wealth in Tax Havens? Macro Evidence and Implications for Global Inequality,” surmises that about 10 percent of the world’s GDP — $5.6 trillion — is held in offshore tax havens, which rises over 60 percent in some Gulf and Latin American countries.

Globally, offshore wealth increased by over 35 percent between 2007 and 2015, according to the study. An estimated 80 percent of offshore wealth belongs to the top 0.1 percent of the world’s richest families, and about 50 percent belongs to the top 0.01 percent.

The authors of the study, from economists in Scandinavia and Cal-Berkeley, also found that the level of offshore wealth in Russia — estimated at about 60 percent of GDP in 2015 — has “dramatic implications” for income inequality in the the nation.

The study’s authors found these were the following countries with the largest amount of wealth to GDP held abroad, all at over 40 percent of GDP:

Israel

Jerusalem (Flickr)

Kenya

Nairobi (Wikimedia Commons)

Kuwait

Kuwait City (Dalal Al Mudhaf/Flickr)

Russia

Moscow (Pixabay)

Saudi Arabia

Riyadh (Wikimedia Commons)

United Arab Emirates

Abu Dhabi (Wikimedia Commons)

Venezuela

Caracas (Beatrice Murch)

Zimbabwe

Harare (Wikimedia Commons)

[Bloomberg] — E.K. Hudson


Related Articles

arrow_forward_ios
From left: 86-08 Queens Boulevard, 169 First Avenue and 3540 Decatur Avenue (Credit: Google Maps)

Raymour & Flanagan purchase tops week’s mid-market investment sales

Clockwise from top left: 37 Perry Street, 595 Broadway, 1424-1428 Lexington Avenue, 204 Fourth Avenue and 93 North Ninth Street (Credit: Google Maps)

Gowanus trade biggest of six mid-market investment sales this week

Clockwise from left: 2 East 55th Street, 25-25 Borden Avenue and 91 Ludlow Street (Credit: Google Maps)

Here’s what the $10M-$30M investment sales market looked like last week

1890 Lexington Avenue and 22 St. Marks Place (Credit: Google Maps)

Here’s what last week’s $10M-$30M investment sales market looked like

From left: 254 Water Street, 45-01 Northern Boulevard and 34-08 46th Street (Credit: Google Maps)

Here’s what the $10M-$30M investment sales market looked like last week

From left: 305 East 47th Street and 286 River Avenue (Credit: Google Maps)

Here’s what the $10M-$30M NYC investment sales market looked like last week

(Illustration by Carl Wiens)

NYC’s foreign investment landscape in the era of trade wars and heightened nationalism

30 West 31st Street and 52 West 36th Street (Credit: Google Maps)

South Korean firm snaps up two Midtown hotels for $137M

arrow_forward_ios