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Affordable Housing: Government is a major contributor to Ghana’s housing deficit

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By: Ashiadey Dotse 

Private Legal Practitioner Austin Kwabena Brako-Powers says government policies and spending decisions are a major cause of Ghana’s growing housing deficit, questioning the effectiveness of so-called affordable housing projects.

‎‎Speaking in an interview on GTV’s ‘Current Agenda’ on Saturday March 21, 2026, Mr. Brako-Powers criticised government’s approach to housing, arguing that despite huge investments, the expected results have not been achieved.‎

‎He stated that funds allocated to affordable housing projects have not delivered value, insisting that many of such projects are beyond the reach of ordinary Ghanaians.‎

‎“In fact, it is not affordable housing; it is expensive housing,” he said, explaining that most units are sold to the highest bidder rather than targeted at low-and middle-income workers.

‎According to him, prices of some housing units range between 250,000 and one million dollars, making them inaccessible to the average public sector worker.

‎Mr. Brako-Powers added that the situation is worsened by government’s broader spending pattern, where about 39 percent of the national budget is spent on public sector compensation, while only about 6 percent is allocated to capital expenditure.

‎He said this imbalance affects infrastructure development, including housing, and contributes to shortages in key sectors such as healthcare.

‎The legal practitioner also raised concerns about disparities in public sector pay, noting that workers performing the same duties often receive different salaries.

‎He further pointed out that labour unrest has placed a heavy burden on the national budget, revealing that strikes cost the country over GH¢1.4 billion in 2024 and about GH¢630 million in 2025.

‎‎Mr. Brako-Powers criticised state-owned enterprises for increasing salaries without proper approval, saying such actions add pressure to public finances.

‎‎On policy direction, he called for reforms to the public sector pay system but cautioned against creating new institutions. Instead, he proposed amending the existing Fair Wages and Salaries Commission Act to align with current needs.

‎Touching on housing regulation, he said the failure to enforce the Rent Act has allowed landlords to exploit tenants.

‎He stressed that successive governments have not effectively implemented the law, despite its clear provisions, including limits on advance rent payments.

‎Mr. Brako-Powers called for the establishment of a Ghana Rent Regulatory Authority to strengthen enforcement and protect tenants, adding that the current rent control system is not fit for purpose.

‎He encouraged government to take decisive action and ensure existing laws are properly enforced if the country is to address its housing challenges.

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Source:
www.gbcghanaonline.com

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