Economic Determinants of Project Abandonment in the Ghanaian Economy: An Analysis of Influencing Factors

Abstract

This study explores the economic factors that contribute to the widespread abandonment of development projects in Ghana, particularly within the construction and public infrastructure sectors. Through the use of structured questionnaires administered to industry professionals and project stakeholders, the research identifies inflation, unstable government policies, currency fluctuations, and inadequate project funding as primary drivers of project abandonment. The findings also highlight the role of weak public financial management, lack of continuity in government, poor communication, and political interference—especially in the appointment of inexperienced project personnel—as significant contributors to project discontinuity. The analysis reveals that such economic challenges lead to stalled or incomplete projects, resulting in wasted public resources, reduced investor confidence, and delays in socio-economic development. The study concludes by emphasising the need for better project planning, sustained funding mechanisms, transparent procurement processes, and political will to ensure project continuity and completion. These findings offer valuable insights for policymakers, practitioners, and development partners aiming to address inefficiencies in project delivery across Ghana.