The Gini Index, also known as the Gini coefficient is one of the measures of income equality (and inequality) among populations in a city or a country. According to experts, it’s meant to represent not only the income but also the wealth distribution of a nation’s citizens.
However, it’s important to take note that wealthy regions do not automatically get a positive Gini Index. Recently, a new report was released and it revealed the world’s top countries with the highest level of income equality in the world.
Here are the Top 4:
Among the European countries, Norway ranks second in terms of GDP per capita and today, it’s one of the wealthiest countries on the planet with the highest standard of living. However, it’s not the top in terms of income equality, securing “only” the fourth spot in this ranking, with a Gini Index of 26.8%.
- Czech Republic
The country is known for its developed and high-income economy, boasting a GDP rate of 87% (based on European Union average). As a former Communist state, Czech Republic is surprisingly more prosperous and stable in terms of economic performance, thanks to its healthy export relationship with other EU nations like.
The citizens of the country enjoy a relatively equal income distribution with a Gini index of 25.9%.
Slovenia has the richest developed economy among the Slavic countries. In 2007, it introduced the Euro as its currency, and has been a member of the the Organization for Economic Co-operation and Development (OECD) since 2010.
Currently, it has a 25.7% Gini Index and second in the ranks for the most equal in the world in terms of wealth distribution.
The country is considered as an emerging free market, with a fluctuating but consistently active economy. After its recovery from the 2008 financial crisis, it started its upward climb again only to suffer another loss in 2013.
However, its economic woes did not stop it from dominating the list as the country with the highest level of income equality with a Gini index of 25.5%.