1. BY HON. DZIFA AKU ATTIVOR MINISTER FOR TRANSPORT REPUBLIC OF GHANA
LAND TRANSPORT INFRASTRUCTURE INVESTMENTS IN GHANA KEY TO DEVELOPMENT AND GROWTH OF NATAIONAL ECONOMY & PARTNERING OPPORTUNITIES IN KEY RAIL AND ROADS PROJECTS BY
HON. DZIFA AKU ATTIVOR
MINISTER FOR TRANSPORT
REPUBLIC OF GHANA

2. OUTLINE Introduction Ghana Shared Growth & Development Agenda(GSGDA)
National Transport Policy
Significance of Transport to Economic Growth
State of Land Transport Infrastructure in Ghana(Road & Rail)
Challenges
Key Road and Rail Projects
Opportunities for Partnership
Conclusion

3. INTRODUCTION Ghana is a sub-Saharan coastal nation within West Africa
Bounded on the south by the Gulf of Guinea, is bounded on the north by Burkina Faso, on the east by Togo and on the west by Cote D’Ivoire
Total land area of 238,540 km2 and about 536km width, with Accra, a coastal city as the Capital
Governance by multi-party democracy with a constitution that guarantees freedom and liberties to all persons

4. MAP OF WEST AFRICA

5. ECONOMIC INDICATORS
Population of about 24.7million with English as the official language
Ghana attained Lower Middle Income Status in 2012
Nominal GDP estimates for 2012 was Ghc73.1billion
Ghana’s National Economy grew by 7.9% in 2012
By first quarter 2013, economy had grown by 6.7 %
Inflation rate as at May, 2013 was 11.1%

6. GHANA SHARED GROWTH & DEV’T AGENDA
The Ghana Shared Growth & Development Agenda(GSGDA) is Government’s Medium Term National Development Framework
The GSGDA is anchored on 7 main thematic areas
The Transport Sector falls under the infrastructure and human settlement thematic area out of which has been developed the National Transport Policy(NTP)

7. GSGDA THEMATIC AREAS Ensuring and Sustaining macroeconomic stability
Enhanced competitiveness of Ghana’s Private sector
Accelerated agriculture modernization and natural resource management
Oil and gas development
Infrastructure, energy and human settlement development
Human development, employment and productivity
Transparent and Accountable Governance

8. STRATEGIC GOALS FOR THE TRANSPORT SECTOR
The NTP has 7 broad goals namely;
Establish Ghana as a Transportation Hub within the West African Sub-Region
Create a sustainable, accessible, affordable, reliable, effective, efficient, safe and secure transport system that meets user needs
Integrate land use, transport planning, development planning and service provision
Create a vibrant investment and performance-based management environment that maximizes benefits for public and private sector investors
Develop and implement a comprehensive and integrated Policy, Governance and Institutional Framework
Ensure Sustainable Development in the Transport sector; and
Develop adequate Human Resource and apply new Technology.

9. VISION FOR GHANA’S TRANSPORT SECTOR
The Vision for Ghana’s Transport Sector is to:
To provide an integrated, efficient, cost-effective affordable and sustainable transportation system that will respond to the needs of society, supporting growth and poverty reduction, and capable of establishing and maintaining Ghana as a transportation hub of West Africa

10. SIGNIFICANCE OF INFRASTRUCTURE TO ECONOMIC GROWTH
Infrastructure key to propelling economic growth and sustainable poverty reduction
World bank estimates that to achieve 7% growth rate to combat poverty, sub-saharan countries need to invest 5% of GDP in infrastructure
Transport infrastructure investments enhances socio-economic development

11. CONTRIBUTION OF LAND TRANSPORT TO GROWTH OF NATIONAL ECONOMY
Improvements in roads and rail infrastructure facilitates the movement of people, goods and services from the hinterlands and farming communities to the city centres for consumption and to feed agro-based industries and for export.
Improved rail infrastructure supports the export of mineral ores to Ghana’s Ports and makes our commodities competitive on the world market

12. CONTRIBUTION OF LAND TRANSPORT TO GROWTH OF NATIONAL ECONOMY
Road & Rail infrastructure creates opportunities within the transport and logistics supply-chain leading to job creation and poverty reduction
Land Transport facilitates the movement of goods from Ghana to our land locked neighbours of Burkina Faso, Cote D’Ivoire and Niger

13. ROLES OF TRANSPORT SECTOR MINISTRIES
The Policy oversight responsibility for the Transport Sector is handled by 2 Ministries
MINISTRY OF TRANSPORT
Has oversight responsibility for all the modes of transport, except road Infrastructure
MINISTRY OF ROADS & HIGHWAYS
The Ministry of Roads & Highways has oversight responsibility for the development of road infrastructure in Ghana

14. STATE OF RAIL INFRASTRUCTURE
Total route length of 947km(593 Miles)
Track length of 1,300km (807 Miles)
Track gauge of 1067 (3ft.6ins) meters with a maximum axle load of 16 tonnes
Railway Network is divided into 3 main lines with branch lines
Main Lines are;
- Western Line : Km
- Central Line : Km
- Eastern Line : Km
Only 133.6km representing 14.1% of the entire network of 947 is currently operational

15. EXISTING RAILWAY NETWORK (MAP)

16. WESTERN RAIL LINE Western Rail Line
The Western line is the main stay of the rail network in Ghana
Used to haul mineral ores,(manganese, Bauxite, Timber, cocoa etc)from the mining communities to the Port of Takoradi for export

17. EASTERN RAIL LINE Eastern Rail Line
Viability of the proposed Inland Port at Boankra is linked with the reliability of the Eastern Line
Mineral deposits like bauxite, limestone, diamond and gold are located along this line.

18. CENTRAL RAIL LINE Central Line
Linked to Western and Eastern Lines respectively
Main link to communities along the line for access to the Greater Accra and Western Region

19. RAIL PASSENEGER PERFORMANCE(2008-2012)

20. RAIL FREIGHT PERFORMANCE (2008-2012)

21. CHALLENGES –RAIL INFRASTRUCTURE
Funding remains key challenge to Rail Transport Infrastructure provision in Ghana
Obsolete network, operating system & rolling stock
Poor track infrastructure resulting in the closure of greater part of the Western and Eastern lines and the entire Central line
High incidence of derailment leading to loss in operational hours and damage to rolling stock
Due to the very poor condition of the Western Line, haulage of bauxite and manganese are currently by road
Resultant Road Accidents and damage to road infrastructure (high road maintenance cost)

22. RAIL SECTOR REGULATORY REGIME
Establishment of Ghana Railway Development Authority(GRDA) under Railway Act, Act 2008, Act 779 passed in 2008
GRDA is regulator of railway sector and manager of railway fixed assets
Government policy to allow competition in rail services provision
Development of operational terminals to be opened to private sector participation

23. RAIL SECTOR DEVELOPMENT PLANS
Short Term to Medium Term
Master Plan Studies for development of entire railway network almost completed
Rehabilitation of the Western Rail Line – US$1.2 billion
(Feasibility Studies completed) Including Rolling Stock
Rehabilitation of Sub-urban Rail Lines
Accra-Nsawam US$ 120 million
Takoradi-Kojokrom-Sekondi - US$ 165 million
Kumasi-Ejisu US$ 100 million
Rehabilitation of locomotives and rolling stock to improve operations

24. SHORT TERM TO MEDIUM TERM-CONT’ D
Re-construction of the Western Rail line from Takoradi to Kumasi on a standard guage
Pre-feasibility studies completed for Eastern Line
Packaging of development of Eastern rail line and Boankra Inland Port on Build Operate Transfer(BOT) basis
Feasibility studies for Tram services in Accra

25. RAIL SECTOR DEVELOPMENT PLANS MEDIUM TERM TO LONG TERM
Feasibility studies for the rehabilitation of the Eastern and Central Lines
Feasibility studies for expansion and construction of the rail lines to the north
Rehabilitation of the Eastern and Central rail lines
Construction of Proposed ECOWAS rail line along the Coast from Nigeria to Cote D’Ivoire

26. PROPOSED EXPANSION OF RAILWAY NETWORK

27. STATE OF ROAD INFRASTRUCTURE.
Road Transport remains the most predominant mode of transport accounting for over 90% of passenger and freight movement and the road infrastructure remains a backbone of the economy

28. STATE OF ROAD INFRASTRUCTURE - CONT’D
National Road Network of 68,067 kilometers as at end of 2012 and can be classified as follows:
Urban Road Network ,400 km
Feeder Road Network ,190 km
Trunk Road Network ,477 km
Ghana’s present road condition mix as at end of 2012
50% Good 30% Fair 20% Poor

29. NATIONAL ROAD NETWORK SURFACE TYPES

30. CHALLENGES – ROAD INFRASTRUCTURE
The delivery of road infrastructure faces many challenges in spite of large investments made in the past 20 years
Inadequate budgetary allocation for road infrastructure provision
Inadequate revenue to cover cost of routine and periodic maintenance
Poor axle load regulation and enforcement leading to rapid deterioration of road infrastructure

31. INVESTMENT CLIMATE IN GHANA
Tariff Exemption: 100% duty exemption for production equipment.
Investment law guarantees 100% transfer of profits, dividends, etc.
Membership of the Multilateral Investment Guarantee Agency [MIGA] of the World Bank.
Tax holidays: 3-10 years depending on sector; 10years for free zones with 8% corporate tax thereafter.
Endowed with natural resources and high literacy rate with friendly people, it is the investor’s dream.
More information at or

32. OPPORTUNITIES FOR PARTNERSHIP PUBLIC PRIVATE PARTNERSHIP FRAMEWORK
Public Private Partnerships have become the preferred vehicle by which most Governments in both developed and developing Countries get critically needed socio-economic infrastructure constructed
Government is committed to this objective and sees the private sector as partners for socio-economic development
Government has consequently developed a PPP policy framework to guide private sector investments in infrastructure Projects
Government’s objective for the Transport Sector under the National Transport Policy is to create an enabling environment to attract the private sector to invest in the provision of Transport infrastructure and services(

33. CONCLUSION
Government of Ghana sees the Private sector as partners for Economic development.
As indicated earlier, the large mineral deposits existing along the corridors of the rail systems create the desired opportunities for investments in rail infrastructure to yield the necessary returns on any investments
Therefore I wish to use this opportunity to extend an open invitation to the investor community to explore opportunities for Cooperation in the Transport Sector

34. THANK YOU!