The World Bank has estimated that Ghana will need about US$37 billion every year to bridge its infrastructure gap and support sustainable urban development as the country’s towns and cities continue to expand rapidly.
The Bank said sustained investment in infrastructure, stronger local governance and the effective implementation of the newly launched National Urban Policy will be crucial to addressing the country’s growing urban challenges.
Speaking at the ninth Ghana Urban Forum in Accra, where the government officially launched the National Urban Policy, the World Bank’s Urban Resilience and Land Practice Manager, Madhu Raghunath, said Ghana is now one of the most urbanised countries in Sub-Saharan Africa.
According to her, about 57 percent of Ghana’s population currently lives in urban areas, with that figure expected to more than double by 2050.
“There is a huge infrastructure gap. Ghana’s Infrastructure Plan (2019) estimates a staggering US$37 billion is needed annually to build the infrastructure that supports economic growth and improves quality of life by 2047,” she said.
Raghunath identified flooding, inadequate housing, poor waste management and severe traffic congestion as some of the country’s most pressing urban challenges.
She disclosed that in Accra alone, annual flood-related damage to assets is estimated to exceed US$20 million, making it one of the highest flood-risk cities in Sub-Saharan Africa.
She also noted that the number of people living in slums increased from 5.5 million in 2017 to 8.8 million in 2020, highlighting the growing pressure on urban infrastructure.
According to the World Bank official, poor waste management continues to worsen environmental pollution, with many urban households lacking access to proper waste collection services.
“Most urban households do not have access to waste services and dispose of their waste in uncontrolled dumpsites (38 percent) or through open burning (23 percent),” she stated.
Raghunath called for coordinated investment in transport, electricity, housing and waste management infrastructure, stressing that well-planned cities can boost economic productivity, create jobs and improve living standards.
She further urged the government to strengthen municipal financing, enhance public-private partnerships and build the capacity of local authorities to improve urban planning and service delivery.
“Getting urbanisation right is central to Ghana’s jobs and productivity agenda. Well-planned cities reduce the cost of doing business, connect firms to workers and markets, and enable people, especially young people and informal workers, to access services, mobility, skills and better livelihood opportunities,” she said.
She also praised the National Urban Policy for its focus on inclusive development, affordable housing, improved mobility, climate resilience and greater citizen participation in local governance.
Minister for Local Government, Chieftaincy and Religious Affairs, Ahmed Ibrahim, said the policy aims to improve conditions in informal settlements while preventing the emergence of new slums.
He urged Metropolitan, Municipal and District Assemblies to integrate the policy into their development plans and budgets, stressing that its success will depend on effective implementation across the country.
