Only 5% of Ghanaians can afford decent housing without support – Gov’t

The Ghanaian government has revealed that only about five percent of the population can afford to purchase housing without any assistance. According to a joint statement issued by the Ministry of Works, Housing and Water Resources, as well as the Ministry of Local Government, Chieftaincy and Religious Affairs, approximately 60 percent of Ghanaians require state-facilitated support to secure decent housing.

Another 30 percent of the population remains unable to acquire housing, even with government subsidies. These statistics were presented to commemorate World Habitat Day 2026, under the theme "Adequate Housing for All."

The government attributes the housing crisis to factors such as soaring land prices, escalating construction and infrastructure costs, and restricted access to affordable housing finance. The authorities emphasized the urgent need for targeted interventions to make housing more accessible and affordable for all citizens.

In response to the housing deficit and to improve homeownership opportunities, the government has launched the National Mortgage Scheme in collaboration with the National Housing Fund and Republic Bank. This scheme offers mortgage financing at an interest rate of approximately 8.4 percent per annum, with repayment periods extending up to 20 years.

The initiative aims to support marginalized groups who have historically been excluded from the formal mortgage market, ultimately enabling more individuals to own decent homes through more affordable long-term mortgage financing.

The government has also implemented broader policies to tackle housing and urban development challenges. These include the National Urban Policy and Implementation Plan 2026-2035, as well as the National Slum Upgrading and Prevention Strategy and Implementation Plan 2026-2035. These policies are intended to provide a more cohesive approach to housing, urban development, and the improvement of living conditions in communities.

However, the ministries stressed that adequate housing should not be solely measured by the number of houses built. Decent housing, they argued, must also encompass access to essential services and infrastructure, such as potable water, sanitation, roads, electricity, drainage, and public spaces. The government reiterated its commitment to expanding access to housing and enhancing the conditions in existing communities, emphasizing the need for sustained investment and targeted interventions, especially for households that cannot afford homes through conventional means.