Rural infrastructure development in the Volta region of Ghana: barriers and interventions

Abstract

Purpose

Although a high proportion of the Ghanaian population live and work in under‐developed areas, research on rural infrastructure development is scarce. The purpose of this paper is to explore the challenges confronting rural infrastructure development and the requisite incentives needed to boost it.

Design/methodology/approach

An inductive methodological approach was adopted using a structured questionnaire to survey the perceptions of rural contractors.

Findings

Incentive systems identified include the provision of mobilization funds for projects; a plant pool for rural contractors; special allowance for rates of project items; and provision of letters of credit to secure loans for projects. Key challenges confronting rural construction were identified as a lack of financial institutions willing to support projects with funds; lack of potable water; lack of good health care systems; and lack of a goods market to supply materials.

Research limitations/implications

Identification of challenges and incentive systems for rural infrastructure development provides an opportunity to reinvigorate rural infrastructural development in sub‐Saharan Africa.

Practical implications

The study will be of value to all project partners throughout the supply chain who contemplate rural infrastructure development.

Originality/value

The paper presents a novel epitome of rural infrastructure delivery in the developing country of Ghana.

Citation

Badu, E., Owusu‐Manu, D., Edwards, D.J., Adesi, M. and Lichtenstein, S. (2013), "Rural infrastructure development in the Volta region of Ghana: barriers and interventions", Journal of Financial Management of Property and Construction, Vol. 18 No. 2, pp. 142-159. https://doi.org/10.1108/JFMPC-11-2012-0040