Ghana’s strengthening currency has brought relief to many sectors, but cement prices remain stubbornly high, creating a major setback for the construction industry.
Despite the local currency (Cedi) appreciating by about 40 per cent against the US dollar since January, the price of a bag of cement continues to hover between GHS90 (US$8.24) and GHS120 (US$10.99).
The unyielding cost of cement is delaying projects and frustrating contractors nationwide. “Over the last three months we hardly got a call or a job,” said Issah Ismaila Dambaro, project manager at Trust Construction and Supply Services, explaining that many clients are suspending projects in hopes that prices will fall.
Government efforts to bring transparency to the sector—such as Legislative Instrument 2480, which requires manufacturers to disclose ex-factory prices—have so far failed to ease the situation.
The sector’s struggles are weighing heavily on Ghana’s economy. The construction industry contracted by 2.8 per cent in 2023, following a four per cent decline in 2022. The persistent high cost of cement also threatens efforts to close the nation’s 1.8 million-unit housing deficit—the largest in West Africa.
Analysts and industry stakeholders are now urging an urgent review of cement production costs and pricing mechanisms to ensure that Ghana’s construction sector benefits from the broader economic gains being recorded elsewhere.
