The Ghana Employers Association (GEA) has proposed a National Home Ownership Programme to address Ghana’s estimated 1.8 million housing deficit, arguing that large-scale affordable housing development could become one of the country’s biggest drivers of employment, industrial growth and economic transformation.
The proposal was presented by the President of the Association, Dr. Emmanuel Adu-Sarkodee, during the 2nd National Labour Conference held in Ho in the Volta Region.
He urged government to integrate the initiative into its flagship 24-hour Economy Programme, describing housing as a critical pillar for improving worker productivity and national development.
Speaking on the theme, “Strengthening Industrial Harmony as a Catalyst for Accelerated Economic Growth and National Development,” Dr. Adu-Sarkodee said industrial peace alone would not deliver higher productivity if workers continued to struggle with access to decent and affordable housing.
He observed that Ghana’s housing deficit has remained around 1.8 million units despite several housing initiatives introduced by successive governments, with many existing schemes proving unaffordable for ordinary workers or failing to achieve their intended objectives.
According to him, teachers, nurses, police officers, civil servants and many private sector employees have increasingly been priced out of the housing market because mortgage interest rates, which currently range between 25 and 28 percent, make home ownership unattainable for most households.
The GEA is proposing the construction of 1.8 million standardised two-bedroom houses through a partnership involving government, the private sector and other stakeholders.
Under the proposal, each housing unit would cost an estimated GH¢250,000 and be financed through a 25-year mortgage at an interest rate of about 8 percent.
Dr. Adu-Sarkodee said such an arrangement would reduce monthly mortgage repayments to approximately GH¢1,900, making home ownership affordable for a much larger segment of middle-income workers.
He noted that Ghana’s improving macroeconomic environment provides an opportunity to implement such a programme, citing declining inflation and lower interest rates as conditions that could support affordable long-term housing finance.
Beyond solving the housing shortage, Dr. Adu-Sarkodee said the programme would deliver significant economic benefits by stimulating demand across construction, manufacturing, transport, retail trade and financial services.
He estimated that the initiative would require approximately GH¢450 billion in investment and generate more than GH¢900 billion in economic activity throughout the economy.
The Association also projected that the programme could create about 4.5 million person-years of employment, supporting between 650,000 and 800,000 jobs annually, making it one of the largest employment-generation initiatives ever undertaken in Ghana.
To ensure its success, Dr. Adu-Sarkodee called for sustainable housing finance, the strategic release of state lands and comprehensive reforms to Ghana’s land administration system.
He expressed concern over persistent land litigation, saying businesses frequently acquire land only to become entangled in lengthy legal disputes that delay projects and increase development costs.
He urged closer collaboration between the Lands Commission and Metropolitan, Municipal and District Assemblies to improve land title security and accelerate registration processes.
Dr. Adu-Sarkodee proposed that the programme should initially prioritise teachers, nurses, civil servants and security personnel, with mortgages backed by insurance to protect both homeowners and lenders in cases of death or permanent disability.
He added that the initiative would rely heavily on locally manufactured building materials, targeting up to 90 percent local content to stimulate domestic industries, strengthen manufacturing and create additional jobs.
According to him, the GEA has already developed a concept note for the National Home Ownership Programme and is ready to engage government and other stakeholders on implementation.
He expressed confidence that the initiative would not only reduce Ghana’s housing deficit but also create homeowners, expand local industries, generate employment and become a key pillar of the country’s long-term economic transformation.
