US$34bn needed to tackle housing shortage in Ghana
The CEO of DanywiseEstate and Construction, Frank Aboagye Danyansah, has said US$34 billion would be need to tackle housing shortage. The nation needs 1.7 million units, anticipated to rise to 2 million by 2018. He said the government would have to construct 190,000 to 200,000 units annually for the next 10 years to bridge the gap. This is estimated to cost about US$3.4 billion.
He advised the newly appointed sector minister to modify the present Ghana Revenue Authoritytax laws. Currently, there is 5% VAT on real estates. He praised the current government for forming a separate Ministry for Works and Housing that would mostly focus on dealing with challenges in the estate sector and seal the demand and supply gap. The World Bank, in May 2016, stated that about 48% of the youth from 15 to 24 years in Ghana were unemployed and predicted that the number would peak in the approaching decade, hence raising concerns about the preparedness of Ghana to deal with the predicament.