The country’s business environment is under renewed scrutiny following release of the World Bank’s Business Ready Report, which highlights significant inefficiencies in property transfer and construction permitting processes.

The report revealed that obtaining a building permit in Ghana takes an average of 253 days, with costs reaching 731 percent of gross national income (GNI) per capita – one of the region’s highest.

These findings have raised concerns among business leaders and policymakers, who warn that bureaucratic inefficiencies and excessive costs are discouraging investment, slowing urban development and restricting business expansion.

“These numbers represent more than statistics- they represent lost opportunities, constrained growth and untapped potential,” stated Robert Taliercio O’Brien, World Bank Division Director for Ghana, Liberia and Sierra Leone.

The report outlines significant barriers in the property and construction sector, including outdated regulations, manual approval processes and weak digital infrastructure.

It noted that Ghana’s approval times and costs far exceed those in peer economies, making it one of the most challenging places in the region to obtain property-related permits.

Real estate developers and businesses have long expressed frustration over the multiple layers of approvals required from local authorities, urban planning departments and environmental agencies.

Many of these institutions still rely on paper-based processes, creating inefficiencies and increasing the risk of delays and informal payments.

“We had an event here a couple of weeks ago on SOE reform that the president presided over. He gave a very clear message about the need to increase state-owned enterprises’ efficiency and effectiveness. It also points to a need to think about how to rebalance public-private interactions in Ghana,” Mr. Taliercio noted.

Property transfer delays

Beyond construction permits, the World Bank’s report also highlighted delays in property transfers… which take an average 180 days to complete. The cost of transferring property stands at 596 percent of GNI per capita, significantly higher than in countries such as Rwanda and Kenya where reforms have significantly reduced both time and cost.

“The overarching conclusion is that, in many areas, Ghana has the regulatory framework and public services and infrastructure to deliver a competitive business environment; but operational efficiency has lagged because of limited implementation, particularly around digitalisation and inter-agency coordination,” Mr. Taliercio stressed.

These challenges have broader implications for Ghana’s real estate sector, infrastructure development and business competitiveness.

Lengthy property transfer processes increase the cost of doing business, create barriers to collateral-based lending and discourage both local and foreign investment.

Government has acknowledged the need for reform and is implementing the Business Regulatory Reform Programme (BRR) to modernise property registration and permitting systems.

Minister for Trade, Agribusiness and Industry, Elisabeth Ofosu-Adjare, reaffirmed government’s commitment to streamlining processes.

“Achieving the full impact of this vision depends on establishing robust regulatory frameworks and enhancing institutional efficiency,” she said.

However, analysts warn that while policies exist, implementation remains weak.

The World Bank’s report underscored that the gap between policy and execution is a critical factor preventing Ghana from improving its global business rankings.

“The overarching conclusion is that, in many areas, Ghana has the regulatory framework and public services to deliver a competitive business environment,” Mr. Taliercio noted.

“But operational efficiency has really lagged because of limited implementation,” he added.

Infrastructure and digitalisation

A key recommendation from the report is full digitalisation of the domestic and administration and permitting systems, a move that could significantly cut processing times and improve transparency.

Many countries in Africa, including Kenya and Rwanda, have successfully implemented electronic land registries and automated construction permit systems, dramatically improving efficiency.

Ghana’s continued reliance on manual approvals and fragmented data systems is seen as a major bottleneck to progress.

At the report launch event, World Bank officials and private sector representatives stressed the need for greater investment in digital public services to ensure a more predictable, business-friendly environment.

“The B-READY initiative, launched by the World Bank as a successor to the Ease of Doing Business, is not just a set of metrics. It is a roadmap for creating a business environment that is inclusive, sustainable and digitally-driven,” Mrs. Ofosu-Adjare stated.

Private sector leaders at the event called for urgent reforms to streamline construction permits, property transfers and land administration. Many emphasised that without fast-tracked regulatory changes, businesses will continue to struggle with high costs, uncertainty and project delays.