Sydney Harbour to launch Australia Day

WHETHER you're into sheep shearing, whip cracking, fireworks or surfing, there is something for everyone this Australia Day.

And a 100-year-old Iraqi-born grandmother and a two-year-old Indian boy are among nearly 3600 people from 113 countries to become citizens across the state on Sunday.

The largest ceremonies in NSW will take place at Sutherland and Blacktown.

Meanwhile in Sydney, an indigenous ceremony will welcome in Australia Day with a ritual fire at the Opera House at 7.30am.

The fire, along with offerings from around the world will then be carried onboard a boat, before meeting bark canoes under the Harbour bridge for a smoking ceremony.

It will commemorate our past and future, with the national anthem to be sung in the Eora language.

Throughout the day, other free festivities include the popular race of Sydney's ferries, as well as the Australian army parachute display over Circular Quay.

In a new event, tug boats and 10 yachts will perform a "ballet" on the harbour.

Singers Mahalia Barnes and Prinnie Stevens will entertain with the sounds of motown in Darling Harbour from 6pm.

Ms Barnes said it is a great opportunity to celebrate and be grateful.

"We live in one of the most amazing countries in the world, we are very, very lucky," she told reporters on Saturday.

"The best thing about it is that everyone goes out and has a good time."

At 8.45pm, fireworks will mark the finale of the festivities on the harbour.

Meanwhile, face painting, an animal farm and a 3pm concert with The Wiggles will be rolled out at Hyde Park through the day to keep the kids entertained.

"Police have said that the crowd that comes to The Wiggles, Dorothy the Dinosaur and Peppa Pig are the best behaved crowds of the Australia Day weekend," Blue Wiggle, Anthony told reporters.

"It is a lovely, lovely day for families to come along, celebrate Australia and the multicultural society we live in."

Further west in Sydney's Olympic Park, about 6000 Sydneysiders are expected to head to Bicentennial Park for fireworks, sheep shearing, whip cracking and sheep dog trial shows.

Elsewhere in the state, more than 110 people are hoping to break a world record by riding the same wave at North Broulee Beach on the NSW south coast.

At Newcastle a national maritime festival will be held from 8am to 5pm.

Across the state, police are urging people to slow down after almost 800 speed infringement notices were issued on day one of the long weekend campaign.

"With 168 major crashes and one fatality, I'd like to again remind drivers to slow down, stay within the speed limit; no deadline is worth dying for," NSW Police Traffic and Highway Patrol Commander, Acting Assistant Commissioner Stuart Smith said in a statement.

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UK teacher tells of Kruger elephant attack

A BRITISH teacher who suffered a serious leg injury when an elephant tore through her car in South Africa has told how she desperately tried to drive away.

Sarah Brooks, who works at the Sir John Gleed School in Lincolnshire, and her South African fiance Jans de Klerk, were attacked by the elephant as they drove through the Kruger National Park on December 30.

The couple have now returned to England after Brooks spent more than a week recovering from a pelvis fracture and stitches to her right leg after the elephant's tusk pierced it.

The pair have received death threats since footage of the attack - which they say was heavily edited to make it look as if they drove towards the animal - went viral.

The 30-year-old science teacher told the Daily Mail she "completely freaked" as the elephant stormed towards them and in her panic was unable to find reverse in the hire car.

The couple then resorted to stopping, turning off the ignition and looking at the ground, but seconds later the elephant rammed into them.

"The next thing I heard was Jans screaming at me: 'Drive! Drive!'," Brooks said.

"I somehow managed to turn the engine on, Jans found reverse, but just as I got it going, the elephant tipped us up.

"Then he crushed the undercarriage by ramming it with his head, and the key snapped out of the ignition. 'I remember thinking, 'We're never going to be able to drive away now' - and the next thing I knew we were rolling.

"At that moment, your life flashes through your head. I thought, 'We've only been together a year-and-a-half, life's good. Why now? Why the hell now? It just isn't fair.' I didn't know if either of us would live."

She recalled how the bull elephant twice missed her when his tusks ripped through the car before one pierced her leg leaving her streaming with the blood.

De Klerk, who was left unhurt, managed to pull her across to his side of the car, from which the elephant finally walked away only after pushing it up against a tree and smashing the windscreen.

The incident was captured on film by tourists in a car behind, but they drove off after the attack believing the pair to be dead.

The distressed couple, who feared attacks from other animals, waited for help after phoning de Klerk's brother but it was 25 minutes before a helicopter landed.

"They took me to a doctor, where I was patched up before being taken to a hospital to check for internal injuries," Brooks said.

"In the back of the ambulance, I said to Jans: 'I don't want ever to spend another day apart from you.' He said: 'Marry me then?' I said: 'Yes.'"

She told the newspaper that she pleaded with the tourists not to publish the footage, but days later an edited version went viral.

The male elephant, who was believed to be a risk to other tourists, was destroyed after the incident.

The animal had been "on musth", a periodic condition where testosterone levels rise and elephants become more aggressive, and had fought with another elephant earlier that day.

The couple said park rangers told them they were "just unlucky" and had done nothing wrong.

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Jury sides with Love in trial over tweet

A US jury has rejected a defamation case against Courtney Love over a Twitter post that suggested one of her lawyers had been "bought off" for not pursuing a lawsuit over her late husband's estate.

The verdict came after roughly three hours of deliberation in a case that spanned eight days and focused on the Hole frontwoman's postings on the social networking site.

The case centred on one 2010 post that suggested that San Diego lawyer Rhonda Holmes had been "bought off" and that was why she wasn't representing the singer anymore.

Love had hired Holmes to file a fraud case against the estate of her late husband, Nirvana frontman Kurt Cobain. The lawyer contended during the trial that she was fired by Love and that the tweet and other statements the singer made against her have caused her substantial damage.

Love's tweet stated, "I was (expletive) devastated when Rhonda J Holmes Esq of san diego was bought off" in response to a question from user of the popular social media site.

The message was never meant to be public, Love told jurors. She said she meant for it to be sent as a direct message, which only the recipient would see, but it instead went public and was quickly deleted.

The swift verdict wasn't witnessed by Love, who had left court after closing arguments ended on Friday morning. She arrived just as the courthouse was closing down and met her lawyers, John Lawrence and Matthew Bures, in the hallway where she hugged them both.

Love praised her lawyers and the jury after the verdict. Asked about her social media presence, Love said she refrained from posting on Twitter during the trial. "I didn't tweet out of respect for the case," she said.

While the case was billed as the first "Twibel" trial in which Twitter and libel law intersected, Lawrence said it was tried by the same rules as traditional defamation cases.

Jurors determined that Love's tweet included false information, but the musician didn't know it wasn't true.

Holmes lawyer Mitchell Langberg said the jury's verdict meant the panel determined Love's statement was defamatory, but the singer couldn't be held liable for it. Holmes' side asked the panel to award $8 million in damages and send a message that false statements online had consequences.

Langberg said that while his client was disappointed with the verdict, her reputation was upheld and the world now knows that Love's statements were false.

"At the end of the day, her biggest asset in life is her reputation," Langberg said. "That she got back today."

Love's social media postings have gotten her into trouble several times.

In 2011, she agreed to pay $US430,000 to fashion designer Dawn Simorangkir over statements she posted on Twitter and Myspace.

Simorangkir sued Love again last year, alleging the musician libelled her when Love accused Simorangkir of theft on the Howard Stern's radio show and taunted her on the social media site Pinterest.

The case is pending, but Love said she's trying to be more careful about her online musings than she was when she tweeted about Holmes.

"I don't tweet like I did back then," Love said on Friday.

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Govt 'creating' welfare crisis: Labor

LABOR has accused the Abbott government of "manufacturing" a welfare crisis ahead of a planned crack down on young people claiming the disability pension.

Under federal government plans to overhaul the welfare system, young people who are deemed partially fit to work will no longer be able to claim disability welfare payments, News Corp Australia reports.

Social Services Minister Kevin Andrews said under the previous Labor government, young Australians were able to claim the disability pension despite their condition being minor.

Labor MP Matt Thistlethwaite rejected the claim, saying the number of people on the disability pension actually decreased between 2012 and 2013.

He said there was no need for a planned overhaul of the welfare system because Australia didn't have a welfare problem.

"They are creating and manufacturing a crisis to ensure they look like they are a government that is doing something," he told Sky News on Saturday.

The federal government is facing criticism for excluding aged pensioners, who make up the majority of the welfare expenditure, in its welfare payments review as it grapples with a budget deficit.

Finance Minister Mathias Corman said increasing workforce participation among younger people claiming the disability allowance was part of the government's agenda to reduce the budget bottom line.

"We don't think that people with temporary health conditions should be put onto the Disability Support Pension for the remainder of their working lives," he told Sky News.

"We want to help people who are able to work back into the workforce. We think that is good for them and it's obviously good for the country."

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Low UK interest rates to stay: Carney

BANK of England Governor Mark Carney says super-low UK interest rates will remain in place for a while yet as he effectively scrapped the monetary policy framework he introduced just months ago.

In August, the central bank said it would not consider raising interest rates from their super-low levels until unemployment fell to seven per cent.

However, in recent months unemployment has fallen faster than expected, hitting 7.1 per cent at last count.

In a speech to business leaders in the Swiss ski resort of Davos on Friday, Carney said the rate of unemployment consistent with stable inflation in the medium term "is somewhat lower" than the bank had assessed in August.

"The recovery has some way to run before it would be appropriate to consider moving away from the emergency setting of monetary policy," Carney said.

He said evidence that inflation is likely to remain subdued because of weak global growth and lower commodity prices also reinforced the need to maintain the current loose policy.

In December, consumer price inflation fell to two per cent, the first time in years it met the Bank of England's official target.

Carney also sought to reassure businesses and homeowners that when the time eventually comes to move away from the current "emergency settings of policy", any moves would be gradual.

To get the UK economy out of its deepest recession since World War II, the bank has kept its main interest rate at the record low of 0.5 per cent for nearly five years.

"The degree of stimulus will remain exceptional for some time," he said. "That should help reassure British business that the path of interest rates will be consistent with a sustained recovery - that is, with escape velocity."

Carney said the bank's assessment of how to update its forward guidance will begin with the February Inflation Report, its quarterly economic update.

A range of options will be considered, he said.

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Procter & Gamble 2Q profit falls

PROCTER & Gamble says its second-quarter net income fell 16 per cent as the world's largest consumer products maker faced tough comparisons from a year ago, the stronger US dollar and flat sales globally.

But its adjusted earnings still beat expectations.

The maker of Tide detergent and Gillette razors says net income for the three months ended December 31 fell to $US3.43 billion ($A3.93 billion), or $US1.18 per share.

That's down from $US4.06 billion, or $US1.39 per share, last year.

In the year ago period the company had a 21 cent per share gain related to buying out its joint venture in Iberia.

Excluding restructuring costs in the latest period, earnings were $US1.21 per share, a penny above analysts' expectations.

Revenue was flat at $US22.28 billion, short of the $US22.34 billion in revenue analysts expected.

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Two men killed in German court shooting

TWO used-car dealers have been shot dead on the steps of a courthouse in the German city of Frankfurt, just before they were due to appear in court on attempted manslaughter charges.

The violence appeared to be the final act of a long-running feud among vehicle traders, prosecutors said.

Police arrested the alleged assailant minutes later on a busy Frankfurt square. No one else was hurt.

The two men had been waiting outside a building entrance inside the court complex on Friday morning when a third man arrived, immediately pulled a gun and opened fire.

One victim, 45, died instantly, and his body was still lying on the stairs hours later as forensic experts gathered evidence.

The assailant chased the other man, aged 50, into the building, shot him and then stabbed him. The victim was rushed to hospital, but died of his wounds.

"The whole business happened in a space of seconds," detectives said later.

The alleged assailant, 47, dropped one of his guns and ran away, but was quickly seized by police on the nearby square, Konstable Wache.

Prosecutors said the men who died had been summoned to court for a retrial in connection with a knifing in a northern suburb in 2007 in which two other used-car dealers were wounded.

A 2008 trial had ended with an acquittal, with judges ruling it was possible they had acted in self-defence, but prosecutors then appealed and obtained a retrial on the attempted manslaughter charge.

Prosecutor could detail how Friday's assailant was associated with the 2007 violence.

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UK artist Perry dresses up for CBE award

CROSS dressing artist Grayson Perry has been made a CBE by Prince Charles and wore his "Italian mother of the bride" outfit for the occasion.

The flamboyant transvestite potter, famed for his ceramic artwork depicting his darkest and most private feelings, said the award was recognition for "30 years of hard graft".

The Turner Prize-winning artist regularly appears dressed as his female alter-ego Claire and did not disappoint his fans when he travelled to Buckingham Palace for the investiture ceremony.

Perry wore a midnight blue dress and matching fitted jacket with a wide brimmed black-hat decorated with what looked like ostrich feathers.

"Receiving this was great," he said after the ceremony.

"It's not just for me it's for all the artists - no really it's just for me, for 30 years of hard graft."

Perry once described Claire as "a cross between Katie Boyle and Camilla Parker-Bowles" but when reminded of this he laughed and said it was his Italian mother of the bride outfit.

"When I got the call (about the CBE) my first thought was what am I going to wear," he said.

"It's a serious thing. I'm not going to compromise my identity as Britain's pre-eminent transvestite. I googled to see what people wore and went for the sexier end.

"I always do like the older woman who makes an effort."

A Buckingham Palace spokeswoman said that Perry's "attire was entirely appropriate".

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Tassie freight schemes need change: report

TASMANIA'S freight headache looks set to continue with a Productivity Commission report finding the island state requires ongoing and improved support to maintain viable links to mainland Australia and international ports.

The draft report released on Friday recommends updates to current arrangements, which see the federal government subsidise goods and passenger services to help offset the cost disadvantage of Bass Strait.

"The design and administration of the current subsidy schemes are out-dated, resulting in outcomes not well-aligned with the schemes' underlying objectives," Commissioner Karen Chester said.

"The embedded administrative complexity also gives rise to anomalies and some perverse incentives."

Without change, the federal government will pay $2 billion over the next 15 years to fund the schemes.

There is a risk that subsidy recipients will become reliant on the funds, which will subsequently reduce the productivity of the Tasmanian economy, the report said.

The commission recommends the schemes are regularly and independently reviewed.

After a period of public consultation the report - titled Tasmanian Shipping and Freight - will be submitted to the Australian government in March.

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Afghan boys playing volleyball shot dead

AT least five boys have been shot dead after a group of militants attacked them on a volleyball court in eastern Afghanistan.

"The young boys, who were school students, were playing volleyball in a village in Alingar district at 12.30pm ... a group of gunmen from the nearby village came and shot them," Sarhdai Zwak, a spokesman for the provincial governor of Laghman, said on Thursday.

"The shooters, who are surely members of the armed opposition, fled the area," Zwak said, implying the attack was carried out by Taliban militants.

"It is not clear yet why they shot dead the boys, but it is clear that the enemies of Afghans cannot tolerate our sports achievements. So, they restore cowardly attacks."

Last week, four young footballers were killed in the southern province of Kandahar when a rocket, allegedly fired by Taliban militants, struck the football field.

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Confidence climbs among mid-size firms

BUSINESSES expect a better trading year in 2014 amid strong profits and a reduction in operating costs.

The Commonwealth Bank future business index, which gauges the sentiment of mid-size businesses with a turnover of $10 million to $100 million, suggests businesses are experiencing a sharp increase in confidence.

The index was 17 points in the December quarter, its highest level since the survey began in September 2011, and up from 10.8 points in the previous three months.

"The vast majority of businesses are anticipating a more prosperous year ahead," said the bank's general manager for corporate financial services, Michael Cant, when the report was released on Thursday.

"Notwithstanding the buoyant sentiment ... there remains a level of conservatism as businesses continue to focus on managing costs."

The survey found the top three challenges facing business are weak consumer confidence, a falling Australian dollar and uncertainty about government policy decisions.

There are also increasing concerns about skills shortages.

However, 77 per cent of organisations expect a better performance in 2014 compared with 2013.

The survey's revenue index for the next six months jumped to 41 points in the December quarter from 25 in the September quarter, the profit forecasts index increased to 27 from 15, and the operating costs index eased to 29 from 33.

Commonwealth Bank chief economist Michael Blythe said the sharp improvement in revenue and profit expectations was quite encouraging.

"We're seeing this improved sentiment flow through to other important areas, such as an enhanced appetite for risk and an expected increase in capital expenditure and headcount," he said.

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German index suggests ongoing upswing

A WIDELY followed index of German business optimism dipped unexpectedly in January but remained at a high level, suggesting an ongoing upswing in Europe's largest economy.

The index published on Tuesday by the ZEW, or Centre for European Economic Research, eased to 61.7 points from 62 in December. Market analysts had expected a rise to 64.

The ZEW said the index, despite its small drop, was "hovering at a high level" well above its long-term average of 24.4 points.

ZEW President Clemens Fuest said the figure confirmed expectations for an economic upswing among the financial market experts who were surveyed.

Germany's economy expanded only 0.4 per cent in 2013 but stronger growth is expected this year as the country's eurozone trade partners slowly put their financial crises behind them.

Jonathan Loynes, chief European economist at Capital Economics in London, said that "the optimistic tone of the survey supports our expectation that Germany will record relatively solid growth of about 1.5 per cent in 2014".

He cautioned that "even the super-competitive German economy" could suffer from a stronger euro that could hold back exports.

Selling cars and industrial machinery abroad is a pillar of Germany's economy, which has low unemployment and a strong trade surplus.

The index is based on a survey made January 6-20 of 254 investment analysts.

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Vic ambos to protest over pay dispute

HUNDREDS of paramedics are expected to converge on the Ambulance Victoria headquarters on Wednesday morning over their industrial dispute.

Ambulance Employees Australia Victorian secretary Steve McGhie said that during last week's heatwave ambulance services went into "meltdown" and highlighted the inadequacy of resources.

"Even during relatively quiet times, Victoria's ambulance service is woefully inadequate," Mr McGhie said.

"However, last week the system went into meltdown."

A spokesman for Health Minister David Davis said the government inherited an ambulance system in crisis and since coming into office had injected millions to recruit more paramedics in an historic expansion of the state's ambulance services.

Ambulance Victoria chief executive Greg Sassella said it had been negotiating in good faith to reach a meaningful enterprise agreement and wage increase outcome.

He said they remained in voluntary conciliation with the unions and their next meeting was scheduled for the end of this month.

The ambulance union says its paramedics are the lowest paid in Australia and they could go interstate and earn almost $30,000 more for doing the same job.

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Fire at Vic jail puts inmates in lockdown

PRISONERS were placed in lockdown during a fire at a minimum security prison north of Melbourne.

Prisoners were not in danger at the Dhurringile Prison, in Murchison, a Victoria Police spokeswoman said.

The fire is believed to have started at a factory on the prison grounds just after 8pm (AEDT) on Tuesday.

A Country Fire Authority spokeswoman said the fire was causing a bit of smoke, but was not a threat to the community.

About 19 fire trucks battled the blaze and it was brought under control about 10pm.

The cause for the fire is not known at this stage.

The minimum security prison has a capacity for 268 prisoners.

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Shorten warns against rubber stamp to cuts

OPPOSITION Leader Bill Shorten will seek to energise Queensland Labor supporters and urge them to make sure the by-election in Kevin Rudd's electorate doesn't lead to a rubber stamp for budget cuts.

Mr Shorten is campaigning in the Brisbane electorate of Griffith ahead of the February 8 by-election triggered by Mr Rudd's resignation.

He will formally launch ALP candidate Terri Butler's campaign on Wednesday evening.

The opposition leader intends to reiterate warnings the cuts of Campbell Newman's state government were just a curtain-raiser for what Prime Minister Tony Abbott has in store.

"The people of Griffith can't afford to elect a rubber-stamp for the cruel cuts of the Abbott government," he will tell supporters at the Morningside Panthers Football Club.

"Tell your friends and family and colleagues and fellow commuters that there's only one candidate who will be a strong voice for the real needs of the people of the south side."

Mr Shorten believes the by-election will be a close competition, with the Liberal-National Party spending plenty of money to support its candidate, Dr Bill Glasson.

Dr Glasson ran against Mr Rudd in the September federal election, garnering a swing away from the former prime minister of nearly 5.5 points.

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Credit demand subdued other than for homes

DEMAND for home loans is at its highest level in four years but consumers appear to be shying away from other forms of debt, faced with the spectre of rising unemployment.

Data from credit information provider Veda found that mortgage inquiries surged 15.3 per cent over 2013 compared with a year earlier although overall credit demand increased by just 0.4 per cent.

Veda's general manager of consumer risk, Angus Luffman, says an extended period of low interest rates is supporting a lift in mortgage inquiries, showing the strongest growth since late 2009.

"It is likely that we will see a continuing increase in the near term, along with sustained house price growth," Mr Luffman said on Tuesday.

In contrast, inquiries for credit cards rose just 2.4 per cent last year, while demand for personal loans fell 1.4 per cent.

Mr Luffman said the December quarter was usually a strong period for credit demand, reflecting increased spending for Christmas.

"The relatively weak outcome in loans and credit cards suggests low interest rates are not leading to a significant lift in consumer borrowing as households remain cautious about rising unemployment," he said.

It is also a reflection of a slowdown in car sales, which barely grew in 2013.

Mr Luffman believes slow credit demand suggests retailers face continuing challenges for big ticket sales.

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ANZ's satisfaction ratings rebounds

ANZ lifted its standing significantly among business customers in the second half of 2013, to leapfrog rivals NAB and ANZ in satisfaction ratings.

The latest DBM Consultants Business Financial Services Monitor (BFSM) shows ANZ in second place among with big four with an average business customer satisfaction rating of 7.4 out of 10.

That's a significant move from the 6.9 out of 10 ANZ scored in May last year, when it lagged behind its big four counterparts.

DBM director Maria Claridad said most of the improvement in ANZ's rating had come in the micro-business segment, which includes businesses with an annual turnover of up to $1 million.

"This makes up the majority of Australian businesses by number, and ANZ's increase (among micro businesses) over the year is the biggest increase of any bank in any segment," she said.

The BFSM, which surveys 20,000 businesses, showed the Commonwealth Bank in top place again with an average rating of 7.5 out of 10.

Meanwhile, Westpac had an average rating of 7.3, down slightly from a month earlier and NAB, Australia's biggest business lender, remained in fourth place at 7.0.

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Oxfam calls for tax haven crack down

EDS: Not for use before 0001 AEDT Monday January 20.

CANBERRA, Jan 20 AAP - Oxfam wants Prime Minister Tony Abbott to align himself with the 99 per cent and call for a crack down on tax havens at the World Economic Forum.

The organisation has released a discussion paper showing economic inequality increasing with almost half the world's wealth now in the hands of just one per cent of its population.

The poorest half of the world's population own the same amount as the richest 85 people.

Mr Abbott will address to the World Economic Forum in Switzerland on Thursday and is expected to outline where he plans to take Australia as a global economic player.

Oxfam is urging all gathered at the forum to support progressive taxation regimes and crack down on tax havens.

"Tony Abbott is in a prime position to help reduce extreme inequality and poverty globally as Australia prepares to host the leaders of G20 nations this year," Oxfam Australia chief executive Helen Szoke said in a statement.

She called on the government to introduce rules requiring Australian mining and energy companies to disclose the payments they make to governments in other countries, a move to help stamp out corruption.

Oxfam says the rising concentration of wealth represents a global threat to stable and inclusive societies.

"In developed and developing countries alike, the lowest tax rates, the best health and education and the opportunity to influence are being given to the rich and their children," Dr Szoke said.

A network of tax havens allowed the richest individuals and companies to hide trillions of dollars from tax collectors.

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