The Construction Industry and its Linkages to the Ghanaian Economy-Polices to Improve the Sector’s Performance (Published)
The study suggests that the construction sector plays a leading role in the improvement of socioeconomic conditions and the built environment in every country. The study revealed that the construction sector remains as one of the key sectors in the economy in terms of its share of GDP (i.e. 9.1% for 1993- 2011 period) and the overall industrial output( i.e. 35.9% for 1993-2011 period). Also, the paper estimated Construction Sector Index for Ghana for the first time and the index revealed that construction sector has improved significantly over the past two decades. Similarly, some empirical evidence from the econometric estimation using the Engel Granger Causality and Johansen Co-integration methodologies confirmed the evidence that the construction sector activity promoted economic growth in Ghana and the relationship remains positive. Finally, the paper concluded that, the construction sector when given the needed push in terms of capacity building, good policy initiatives and regulatory guidelines can provide the necessary impetus for socio-economic development in Ghana.