Ghana requires an estimated US$37 billion annually to address its infrastructure deficit and support sustainable urbanisation, the World Bank has stated. This substantial investment is crucial for managing the nation's rapid urban growth and improving the quality of life for its citizens.
The World Bank emphasised that investment in infrastructure, stronger local institutions, and effective implementation of the National Urban Policy are critical. These measures will help manage the country's swift urbanisation, which sees 57% of its population now residing in cities and towns. The urban population is projected to more than double by 2050, intensifying the need for strategic development.
This significant financial requirement underscores Ghana's ongoing struggle with urban development challenges, a key component of its broader economic narrative. The country's infrastructure plan from 2019 already estimated this staggering US$37 billion annual need to support economic growth and enhance living standards by 2047. Ghana's rapid urbanisation places immense pressure on existing resources and services, impacting economic productivity and social well-being.
Ms. Madhu Raghunath, Urban Resilience and Land Practice Manager at the World Bank, highlighted these findings at the ninth Ghana Urban Forum in Accra. She noted that Accra alone faces an estimated US$20 million in average annual losses due to flood risk, one of the highest figures in Sub-Saharan Africa. The number of people living in slums has also increased significantly, from 5.5 million in 2017 to 8.8 million in 2020.
The implications of failing to meet this investment target are severe, potentially hindering Ghana's economic growth and exacerbating social inequalities. Decision-makers must prioritise integrated investments in transport, power, waste management, and housing infrastructure to support urban development and job creation. Strengthening public-private partnerships, municipal financing, and local institutions will be vital for improving urban planning and service delivery, ensuring that Ghana's cities can become engines of prosperity rather than sources of crisis.
Ms. Raghunath further identified flooding, inadequate housing, poor waste management, and traffic congestion as major urban challenges demanding urgent attention. She pointed out that unmanaged solid waste and traffic congestion contribute to air pollution and climate change. Approximately 38% of urban households dispose of waste in uncontrolled dumpsites, while 23% use open burning, highlighting a critical gap in waste management services.
The World Bank's call for integrated investment extends to transport, power, waste management, and housing infrastructure. These sectors are essential for supporting urban development and creating much-needed jobs. Ms. Raghunath also urged the government to bolster public-private partnerships and municipal financing. Strengthening local institutions is equally important for improving urban planning and the delivery of essential services.
Mr. Ahmed Ibrahim, Minister for Local Government, Chieftaincy and Religious Affairs, affirmed the government's commitment to addressing these issues. He stated that the recently launched National Urban Policy aims to improve living conditions in informal settlements and prevent the emergence of new slums. The Minister urged Metropolitan, Municipal, and District Assemblies to integrate this policy into their development plans and budgets, stressing that its success hinges on effective implementation at the local level. This policy, commended by Ms. Raghunath, seeks to promote inclusive urban development, affordable housing, improved mobility, climate resilience, and stronger citizen participation in local governance.