Civil Construction in Ghana: The Challenges and Opportunities

Construction is one of the largest and most important industries in any country. The construction industry has been growing steadily over the last few decades, with new technologies and increasing demand spurring further progress. Across the world, construction spending continues to rise. In the coming years, analysts expect this positive trend to continue. In this article, we look at the current state of construction in Ghana. We discuss some of the challenges facing contractors and developers, as well as some of the opportunities they can take advantage of to grow their business and thrive in this market.

What is the current state of construction in Ghana?

Construction in Ghana is growing steadily, but there are still many challenges to overcome. The construction industry is expected to be worth around $5.5 billion by 2022, which is a significant increase from the $3.5 billion it is worth today. This represents an increase in spending of around 50% compared to the last few years. The biggest chunk of this spending is expected to come from private investment, with around 60% of all contracts going towards the private sector. In terms of the types of projects being built, commercial buildings and residential properties are expected to account for around 40% of all construction in Ghana. The other 60% is expected to be split among other types of projects, such as infrastructure, industrial buildings, and social facilities like schools and hospitals.

Why are there these challenges in the Ghanaian construction industry?

The challenges for the construction industry are the same in all countries. In the case of Ghana, these challenges are primarily related to the fact that the construction industry is relatively new. The construction industry in Ghana has only been growing steadily since around 2000. This means that it is still very much in its infancy, with companies just starting to develop the necessary expertise and capacity that they will need to become truly competitive. This is why even though construction spending is growing, it is still below $4 billion. This is a very small amount compared to many other countries, and it shows that the construction industry in Ghana still has a lot of room to grow.

What are the most pressing challenges facing Ghanaian construction companies?

There are many challenges facing contractors and developers in Ghana, but the most pressing ones are the lack of capacity, the lack of financing, and the difficulty in obtaining permits. One of the most important aspects of any country’s construction industry is the capacity of its contractors and developers. The more experienced and skilled contractors and other companies in this industry are, the better and more efficient their work will be. Researchers estimate that about 40% of the world’s contractors are not adequately equipped to do their job effectively. This is especially true in developing countries, where the lack of investment in the construction industry has meant that it is still in its infancy. The construction industry in Ghana is still very small, with most companies having insufficient experience and capacity to handle large projects. The majority of companies in the construction sector are SMEs, which means that they will often be too small to be capable of completing large and complex projects.

Which opportunities does the current situation present for Ghanaian contractors and developers?

Although the construction industry in Ghana faces many challenges, there are also plenty of opportunities for contractors and developers to grow their business and thrive in this industry. One of the most important opportunities for contractors and developers in Ghana is the fact that this industry is still relatively new and very small. This means that there is room for contractors and developers to develop the capabilities they need to succeed. Many companies will be too small to handle large projects, while others will not have the necessary expertise to complete the work they are sent. This means that there will be plenty of opportunities for contractors and developers with the right skills and experience to step in and help complete large and complex projects.

Conclusion

The construction industry in Ghana is growing steadily and is expected to be worth $5.5 billion by 2022. This represents a significant increase from its current value of $3.5 billion. The majority of this spending is expected to come from private investment, with 60% of all contracts going towards the private sector. The construction industry in Ghana faces many challenges, but there are also plenty of opportunities for contractors and developers to grow their business and thrive in this industry.