SDG 10: Reduced inequalities

SDG 10: Reducing inequalities, what is it and why is it so important?

SDG 10 promotes the social, economic and political inclusion of all people, regardless of age, gender, disability, race, ethnicity, origin, religion, economic or other status. It aims to ensure equal opportunities, including through the elimination of discriminatory laws, policies and practices and the promotion of appropriate measures.

Despite some progress in recent years, the United Nations (UN) points out that inequality is one of the greatest challenges of our time and is an obstacle not only to development, but also to peace and the achievement of human rights worldwide.

According to the International Labour Organisation (ILO), the richest 10 % of the world's population currently accounts for more than 50 % of global income, while the poorest half gets only 6.5 % of it. In this unequal distribution, geographical location acts as a major gap: extreme poverty is concentrated in the least developed countries, conflict-affected areas and remote rural areas. Thus, inequality is most pronounced in Southern Africa and Latin America, and grows within countries themselves.

In parallel, the lack of equality affects vulnerable groups the most. One in six people in the world experienced some form of discrimination, and women and persons with disabilities are disproportionately affected, according to the 2023 Sustainable Development Goals Report. Along these lines, inequality jeopardises the little progress that has been made in recent decades on gender equality and the rights of women who still suffer from significant economic, legal, political and social disparities. The World Bank estimates that approximately 2.4 billion women in the world do not have the same economic rights as men. 

Among vulnerable populations, migrants stand out. Although progress has been made in recent decades in facilitating orderly, safe and regular migration, it is far from universal. The largest number of refugees (34.6 million people) ever documented, according to the UN, was reached in 2022. Moreover, children are more than twice as likely as adults to live in extreme poverty and one in six live in extreme poverty, according to an analysis by UNICEF and the World Bank. Other groups, such as indigenous peoples and ethnic minorities, continue to face discrimination and marginalisation.

The effects of inequalities go beyond purchasing power and impact on life expectancy and access to basic services such as healthcare, education and water, and can restrict human rights. Promoting the social, economic and political inclusion of all people and ensuring equal opportunities has become SDG 10 of the 17 UN Sustainable Development Goals, adopted in September 2015 as part of the 2030 Agenda.

 SEE INFOGRAPHIC: Keys to understanding inequality in the world [PDF] External link, opens in new window.

SDG 10 targets: Reduced inequalities

To achieve this goal, the specific goals set for 2030 are:

• Maintain the income growth of the poorest 40 % of the population at a rate higher than the national average.
• Empower and promote the social, economic and political inclusion of all people, regardless of age, gender, disability, race, ethnicity, origin, religion, financial situation or other status.
• Guarantee equal opportunities and reduce inequality, including by eliminating discriminatory laws, policies and practices and promoting appropriate legislation, policies and measures in this regard.
• Adopt policies, especially fiscal, wage and social protection policies and progressively achieve greater equality.
• Improve the regulation and monitoring of global financial markets and institutions and strengthen implementation of these regulations.
• Ensure greater representation and involvement of developing countries in decisions taken by international economic and financial institutions to increase the effectiveness, reliability, accountability and legitimacy of these institutions.
• Facilitate orderly, safe, regular and responsible migration and mobility of people, including through implementing planned and well-managed migration policies.
• Apply the principle of special and differential treatment for developing countries, particularly the least-developed countries, pursuant to World Trade Organisation agreements.
• Encourage official development assistance and financial flows — including foreign direct investment — for States with the greatest needs, particularly the least-developed countries, African countries, small island developing states and landlocked developing countries, in line with their national plans and programmes.

• Reduce migrant remittance transaction costs to less than 3 % and eliminate remittance corridors with a cost greater than 5 %.

Our contribution to SDG 10: Reduced inequalities 

• We promote economic and social development through the creation of stable, quality employment. We generate more than €33 billion of GDP annually in the countries where we are present.

• We apply corporate policies globally that avoid discrimination and respect diversity, promoting effective equality between men and women (SDG 5) and supporting employees with functional diversity to facilitate their inclusion in the workplace.

• We promote diversity and the social inclusion of vulnerable groups through the Corporate Volunteering Programme, in which more than 16,800 volunteers participated in 2022. In addition, more than 8,000 employees collaborated in the International Volunteering Week 2023, carrying out more than 130 solidarity initiatives related to environmental care, the inclusion of vulnerable groups and social emergencies.

• Through the foundations of the Iberdrola Group, we promote social initiatives that are committed to the economic, social, and cultural development of the territories where we do business. In 2022, we made a total investment of €9.3 million for this purpose, benefiting more than 400,000 people.