In 2022, the percentage of income held by the richest 20 percent of the population in Colombia remained nearly unchanged at around 59.6 percent. In comparison to 2021, the percentage of income held decreased not significantly by 0.2 percentage points (-0.33 percent). These figures refer to the share of total income held by the top fifth of earners in a given population.Find more statistics on other topics about Colombia with key insights such as poverty headcount ratio at national poverty lines.

Between 2010 and 2022, Colombia's data on the degree of inequality in wealth distribution based on the Gini coefficient reached 51.5. That year, the country was deemed as one of the most unequal countries in Latin America.

The Gini coefficient measures the deviation of the distribution of income (or consumption) among individuals or households in a given country from a perfectly equal distribution. A value of 0 represents absolute equality, whereas 100 would be the highest possible degree of inequality.

Based on the degree of inequality in income distribution measured by the Gini coefficient, Colombia was the most unequal country in Latin America as of 2022. Colombia's Gini coefficient amounted to 54.8. The Dominican Republic recorded the lowest Gini coefficient at 37, even below Uruguay and Chile, which are some of the countries with the highest human development indexes in Latin America. The Gini coefficient explained The Gini coefficient measures the deviation of the distribution of income among individuals or households in a given country from a perfectly equal distribution. A value of 0 represents absolute equality, whereas 100 would be the highest possible degree of inequality. This measurement reflects the degree of wealth inequality at a certain moment in time, though it may fail to capture how average levels of income improve or worsen over time. What affects the Gini coefficient in Latin America? Latin America, as other developing regions in the world, generally records high rates of inequality, with a Gini coefficient ranging between 37 and 55 points according to the latest available data from the reporting period 2010-2023. According to the Human Development Report, wealth redistribution by means of tax transfers improves Latin America's Gini coefficient to a lesser degree than it does in advanced economies. Wider access to education and health services, on the other hand, have been proven to have a greater direct effect in improving Gini coefficient measurements in the region.

Guyana was the South American country 20360the highest gross national income per capita, with 20,360 U.S. dollars per person in 2023. Uruguay ranked second, registering a GNI of 19,530 U.S. dollars per person, based on current prices. Gross national income (GNI) is the aggregated sum of the value added by residents in an economy, plus net taxes (minus subsidies) and net receipts of primary income from abroad. Which are the largest Latin American economies? Based on annual gross domestic product, which is the total amount of goods and services produced in a country per year, Brazil leads the regional ranking, followed by Mexico, Argentina, and Chile. Many Caribbean countries and territories hold the highest GDP per capita in this region, measurement that reflects how GDP would be divided if it was perfectly equally distributed among the population. GNI per capita is, however, a more exact calculation of wealth than GDP per capita, as it takes into consideration taxes paid and income receipts from abroad. How much inequality is there in Latin America? In many Latin American countries, more than half the total wealth created in their economies is held by the richest 20 percent of the population. When a small share of the population concentrates most of the wealth, millions of people don't have enough to make ends meet. For instance, in Brazil, about 5.32 percent of the population lives on less than 3.2 U.S. dollars per day.