Promoting sustainable construction project financing in Ghana: Critical drivers, barriers and proposed strategies

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In pursuit of achieving sustainable construction of projects, the cost of constructing such projects comes with the increased cost of the project, which poses a challenge to those who are interested in sustainable construction projects. The aim of the study was exploring strategies to promote sustainable construction project financing in Ghana. The objectives set in order to achieve the aim of the study were identifying critical drivers, critical barriers of sustainable construction project financing and important strategies of promoting sustainable construction project financing. As part of the survey research technique used, a questionnaire was used to gather the views of participants. The data collected was analysed with SPSS by conducting inferential and descriptive analysis. The following were findings of the study. The critical drivers of sustainable construction project financing identified were Ethical Investment, Reduced Life Cycle Cost, Conservation of Resources, High Return on Investment and Emerging Business Opportunity. The barriers identified to be critical were Cost Related Barriers, e.g. High upfront cost, Lack of Policy direction and Regulatory gaps, Lack of Knowledge among Professionals, Inadequate Financing Schemes, Lack of Credible Database and Insufficient Government Support. Strategies that were thought to be important to promote sustainable construction project financing were: Government Support, Training and Education, Legal Framework for Sustainable Construction, Provision of incentives, e.g. Tax grants, low interest loans and Position Financial Industry to deal with Sustainable Construction. The recommendations suggested was the setting up of a green building council to oversee the transition of infrastructure in Ghana from conventional to sustainable built infrastructures. Also, there was a need for a financial institution that will cater to the financing of the construction industry in Ghana to avoid competition with other sectors of the economy from accessing capital for sustainable construction projects. Keywords: Sustainable Construction, Sustainable Construction Project Financing, Critical, Drivers, Barriers, Important, Strategies
A thesis submitted to the Department of Construction Technology and Management, College of Art and Built Environment in partial fulfilment of the requirements for the degree of Master of philosophy.
Promoting sustainable, Construction project, Financing in Ghana, Critical drivers