An assessment of the potential impact of constructing the Kwabenya - Kitase road on the local economy

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Road construction typically confers significant benefits on the population the road serves. In spite of these benefits, many roads in rural regions of developing countries such as Ghana are in a deplorable state. The recent rapid growth of urban residential areas in Ghana, however, has necessitated the construction and rehabilitation of the roads linking these areas to major commercial towns in the country. The Kwabenya (Abuom) to Kitase area is a typical example. This study assesses the impact of constructing the Kwabenya (Abuom) - Kitase road on the local economy. This research drew heavily on primary data. However, some secondary data was also used in this research in telling the story of the Kwabenya - Kitase road. The study made extensive use of questionnaires and interviews. 100 questionnaires were sent out to inhabitants and non-inhabitants of the area and 2 interviews were conducted. The research results revealed that, agricultural production was perceived by several respondents as significantly being improved by the construction of the road. The study however, identified other major sectors to be affected as education, real estate, arts, entertainment and recreation, construction and hospitality. It was also seen that in spite of the positive impacts, a construction of the road was likely to come along with some negative implications such as the destruction of arable land and a consequent change in the livelihoods of inhabitants, especially within the Agyemanti - Kitase area. The study established that constructing the Kwabenya - Kitase road was likely to boost the local economy. It also established from responses that there was the concern that an influx of businesses is likely to diminish arable land for construction and commercial purposes. The study noted that local community participation should be increased in constructing the Kwabenya - Kitase road. Also, maintenance culture needed to be enforced to sustain the benefits of the road.
Thesis submitted to the Department of Business Administration, Ashesi University College, in partial fulfillment of Bachelor of Science degree in Business Administration, April 2015
Ghana, Ashesi University College, road construction, local economy, public goods, Berekuso