Term Paper: Poverty Proposal Ghana

Pages: 23 (6891 words)  ·  Bibliography Sources: 18  ·  Level: College Senior  ·  Topic: Literature - African  ·  Buy This Paper

Ghana Poverty

International Bank ForReconstrcution and Development

Ghana -- Public Private Partnership (PPP) Project

PROJECT at a GLANCE

Country

Ghana

Region

Africa

Project Cost

$17.5 Million

Project Duration 8 Months

Commitment Amount 60% of Total Project Cost (TCP)

Team Leader

Case CountryGHANA

- Scope of the report

Current state of poverty in Ghana

Human Development Index (HDI)

(Human Development Report, P. 2)

Failed States Index

Particular Area in need of development

- Why this particular area is important

- What impact poverty alleviation will create?

Specific Policy plan

- Programs implemented in other countries

Malawi

Conclusion

Conclusion

Resource allocation

- Financial

- Non-monetary

Human resources

- Source of funds

World Bank

African Development Fund AFDB

Public-Private local donors

Possible economic and political challenges

Domestic context

International organization (Private and Public) 28

Private Organizations 28

Public organizations 28

6.2.2 Political challenges 28

7- Conclusion 29

Specific Recommendations 30

Works Cited 32

Appendices 34

Appendix a- 2012 HDI of Ghana 34

Appendix B- Small Farm Productivity Raise in Malawi 35

Table 1 HDI Trends of Ghana 9

Table 2 Statistics of Social Protection Program in Malawi 1994-2010 15

Table 3 List of beneficiary Districts 18

Table 4 Financial Plan 21

Executive Summary

Poverty has been termed as the cause and effect of poor governance that prevails in Least Developed Countries (LDCs). To help the poor nations eliminate poverty, both economic and social, the World Bank African Desk hereby presents poverty alleviation plan for Ghana's rural population, mainly the subsistence farmers, women, and underprivileged sections of rural Ghana. After a thorough review of previous intervention programs and pertinent literature, addressing the issue of rural poverty has been identified as the appropriate intervention area in Ghana for poverty reduction. Sachs (143) has termed 'health' as the most pressing issue in African world that remains the trigger point of pushing large sections of African population under the poverty line. Health issues identified in the report of Commission on Macroeconomics and Health substantiated that under-nutrition and lacking public health services for managing preventable diseases are two of the most prominent causes for poor health and poverty in Africa. World Development Report published in 2013 identified that 21.6% of Ghana's population was vulnerable to multiple deprivations. Similarly, 31.2% of the total population of Ghana lived in multidimensional poverty whereby 40% of the total population of Ghana was associated to agriculture and rural-based livelihoods (IFAD, 1-3).

To help address the issue, 11 districts in rural Ghana within four regions of the country have been shortlisted as the beneficiary locations for proposedprogram. Basic Health Units (BSUs) up gradation, Social Services Up gradation, and Targeted Inputs Program (TIP) are the three main intervention programs proposed in this plan. Approximately $17.5 million of investments will be made by three donning stakeholders i.e. World Bank, African Development Fund, and public-private local donors of Ghana. The division of funds incurred on the proposed project will be 60:25:15 respectively. A three member executive team of WB will be tasked with implementing the project. The project duration has been defined as 8 months from the start of ground breaking ceremony till the completion of development work in all 11 districts. Evaluation of impact of this project will be conducted by third party auditor within two years from the completion of the plan.

1- Introduction

1.1- Scope of the report

This proposal is aimed to present a comprehensive poverty alleviation proposal for an underdeveloped country located in Africa. The choice of country is Ghana and the proposal will also elaborate the specific intervention and respective segment of population for which poverty alleviation intervention is sought. Background of poverty alleviation efforts in Ghana as well as other regional countries will also be part of this report to provide the reader with a holistic picture of poverty and poverty alleviation programs operational in the region.

Background

Ghana is part of the region called 'Sub Saharan Africa'. The whole of this region is known for the poor economic, social, and human development conditions prevailing in each of the country within the region. A crisis of governance due to lack of institutional development, absence of accountability, and no rule of law have resulted in such a situation (Brautigam&Knack, 255). Despite heavy international aid flowing in from different countries, the region is still struggling with high debts, political instability, and poor human health conditions. The lack of an effective structure of bureaucracy, inadequate economic reforms, and imbalance of expenditure vs. revenues has resulted in extreme levels of urban and rural poverty in Ghana. Despite heavy amounts of overseas development assistance (ODA), Ghana has been unable to establish itself on sustainable footing. According to Brautigam and Knack (258), 30% of Ghana's government expenditure has been funded by ODA funds.

Another important area that requires improvement is the monitoring of poverty by Ghana Statistical Service (GSS). There have been serious impediments, both capacity and finance related that have deterred GSS from effectively and timely reporting the poverty statistics in rural areas of Ghana (the World Bank, web.worldbank.org). A detailed analysis of poverty indicators indicated that 60% of the poverty in Ghana is concentrated in Rural Forest areas and Rural Savannah. Welfare indicators of larger populations, such as availability of clean drinking water and school enrolments are poor in rural Savannah. Thus, to propose an area centric and demography specific poverty reduction proposal, the following report is aimed at alleviating poverty in the rural areas of Ghana.

1.2- Overview

This proposal presents detailed picture of poverty in rural Ghana. To present a well-based proposal, following is the format and schema of this proposal. Part 2 of this proposal is composed of detailed discussion on current position of poverty in the rural areas of Ghana. This will be followed in part 3 by identification of particular area in need of poverty alleviation intervention by the World Bank. Rationale of choosing a particular area along with brief implication of applying such framework will also be presented within the same part. Part 4 will carry the specific proposal plan for reducing poverty in the rural areas of Ghana by supporting the farmer communities that have the largest presence in rural Ghana. Part 5 of this proposal will be the Resource allocation artifact that will incorporate financial and non-monetary aspects of resource allocation for the proposed plan. Potential source of funds will also be highlighted in same section. Part 6 will discuss in detail the economic and political challenges involved in adoption of the proposed action plan. Domestic, international, and regional challenges will be highlighted. The proposal will be concluded in part 7 by succinctly restating the whole discourse.

Current state of poverty in Ghana

World's 70% of the population lives in rural areas and Ghana's main poverty nexus is also based in rural areas as 60% of the poverty is stemmed in rural Ghana. While not disregarding the urban poverty but keeping it the focus for a separate study, rural areas have been focused as employments over here is labor intense and impacts majority of the population. Agricultural land as a percentage of total land is second highest for sub-Saharan Africa after the Asian region. Of the total land available, Sub-Saharan region has approximately 43.6% of Agricultural land whereas only South Asia has a higher 54.7% of Agricultural land (the World Bank, data.worldbank.org).

Human Development Index (HDI)

HDI is a composite measure of assessing progress in three main dimensions, namely the access to knowledge, life expectancy with healthy life, and the standard of living. There are particular yardsticks for assessing these factors. Access to knowledge is gauged by counting the average schooling years for people aged 25 and above. Data sources being used to develop the HDI is derived from UNESCO Institute of Statistics (UIS), World Bank, and GSS. While not disregarding the enormous efforts made by Ghana to come out of poverty, the country despite higher donor contributions, remain behind Rwanda, Bangladesh and Nepal in fighting poverty. Ghana along with Bolivia, Tanzania, and Cambodia still fights the health issues of aids and lack of education. The HDI value of Ghana for the year 2012 has been estimated to be 0.558. This falls in the medium human development category (Human Development Report 2013, p.2). The rank of HDI awarded to Ghana has been 135 out of 187 countries of the world. During 1980 to 2012, there was an increment of 43% in the HDI value of Ghana. It was 0.391 and now at 0.558. Thus, an improvement is already underway but considerable efforts and plans are required to consolidate this position and shift the HDI of Ghana in developed category. The following table 1 depicts the estimated UN findings on poverty and HDI of Ghana.

Table 1 HDI Trends of Ghana

Source: (Human Development Report, P. 2)

Failed States Index

Failed States Index is a composite index that describes the vulnerability of different world countries to being ranked as failed states. Ghana is amongst 177 countries ranked for being failed states whereby lower rank depicts lower threat… [END OF PREVIEW]

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