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close this bookThe Role of Technical and Vocational Education in the Educational System in Ghana (UNEVOC, 1994, 46 p.)
View the document(introduction...)
View the documentTHE SOCIO-ECONOMIC SITUATION
View the documentHUMAN RESOURCE DEVELOPMENT
View the documentTHE EDUCATIONAL SYSTEM
View the documentOBJECTIVES AND CONTENT OF EDUCATION
View the documentTECHNICAL AND VOCATIONAL EDUCATION SYSTEM
View the documentNATIONAL CO-ORDINATING COMMITTEE FOR TECHNICAL AND VOCATIONAL EDUCATION AND TRAINING
View the documentINSTITUTIONS AND PROGRAMMES
View the documentFINANCING OF TVE
View the documentLINKS WITH INDUSTRIES
View the documentCAREER GUIDANCE AND COUNSELLING
View the documentTHE INFORMAL SECTOR
View the documentEXAMINATIONS AND ACCREDITATION
View the documentFORECAST OF THE FUTURE SITUATION
View the documentEXISTING PROBLEMS
View the documentNATIONAL POLICIES AND INNOVATIVE MEASURES
View the documentPARTICIPATION OF WOMEN IN TECHNICAL AND VOCATIONAL EDUCATION
View the documentINTERNATIONAL CO-OPERATION
View the documentENHANCING THE SOCIAL STATUS OF THE TECHNICAL AND VOCATIONAL EDUCATION SYSTEM AND ITS GRADUATES
View the documentAPPENDIX 'B' - SOME MINISTRIES, ORGANISATIONS AND OTHER INDUSTRIAL ESTABLISHMENTS ENGAGED IN TECHNICAL AND VOCATIONAL EDUCATION AND TRAINING IN GHANA
View the documentBIBLIOGRAPHY/REFERENCES

THE SOCIO-ECONOMIC SITUATION

Ghana at independence in 1957 enjoyed about the largest income per head of population in sub-Saharan Africa and, with her cocoa exports booming, she had vast foreign exchange reserves. However, from 1965 the economy of Ghana began to deteriorate steadily up to 1983. There was a persistent decline in all sectors of the economy. Marked deterioration was noticed in critical infrastructure, including roads, railways, electricity, telecommunications, health and educational facilities as well as industrial plant, which showed visible signs of decline nationally.

There was a decline in the production of cocoa, the country's largest foreign exchange earner. Ghana's share of the world market in cocoa had fallen from about a third in the early 1970s to only about 12 percent in 1982/83. Food production also fell, with a fourfold increase in food imports in the decade to 1982. Similarly, there had been a drop in the production of minerals, the country's second major source of foreign exchange. Output of gold, bauxite and diamonds had fallen steadily. Energy supplies had failed to meet the growing needs of industry, with oil imports being restricted by foreign exchange shortages and locally generated hydro-electricity unable to make up the shortfall. Also there was a shortage of other petroleum products, the prices of which rose sharply. Consequently, there was a fall in capacity utilization in manufacturing. The effect was a sharp drop in the GDP.

The Government that came to power in December, 1981 inherited severe financial problems with unbalanced budgets, leading to rapid increases in money supply. This, with persistent shortages of consumer goods, had led to high inflation. Decline in exports had contributed to huge balance of payments deficits and build-up of external arrears.

More fundamentally, the country's human resources also underwent severe strain, with over 2 million Ghanaians leaving the country in search of better opportunities elsewhere. There was a severe shortage of manpower in the agricultural sector.

It was against this background of economic chaos, immense human suffering and loss of national pride that the Government in 1983 launched the IMF-backed Economic Recovery Programme (ERP), under which it took steps to reverse many of the economic policies of previous regimes and began to implement far reaching structural and financial reforms designed to create a buoyant economic growth. It succeeded in allocating resources more widely throughout the country, moving the economy from several years of decline to steady real growth averaging 5 percent from 1985 to 1993. Unfortunately, however, in 1994 Ghana's economy has not performed as well as expected. The high rate of inflation, the steep decline of the cedi (Ghana currency) and the high interest rates during the year have adversely affected growth of business and the purchasing power of the people.

Employment Status:

Ghana's population in 1990 was estimated at 14.1 million and with an estimated annual growth of 2.6 to 3% the population is expected to increase to between 18.7 million and 19.5 million by the year 2000.

Like the situation in most developing countries, data on employment and the labour market in Ghana are scanty and incomplete. The latest (1984) Ghana Population Census revealed the following information on employment status of the population and its distribution by sector (see tables 1 and 2).

Table 1: Population, labour force and employment status ('000)

N

%

A.

Total population

12,296


Total labour force (15+)

5,581

B.

Economically active populations

5,581


Employed

5,423

100,0


Urban

1,640

30,2


Rural

3,784

69,8


Unemployed

158

100,0


Urban

105

66,5


Rural

53

33,5

C.

Employment Status

5,423

100,0


Wage employment

877

16,2


Self employed

3,788

69,7


Unpaid family workers

680

12,5


Others

88

1,6

D.

Wage employment

877

100,0


Central Government

311

35,5


Public Books

242

27,6


Private enterprises

320

36,5


Others

4

0,4

E.

Self employed

3,788

100,0


Without employees

3,522

93,2


With employees

256

6,8

Source:

ILO/JASP, Employment mission report (Addis Ababa, 1989).


JASPA - Jobs And Skills Programme for Africa.

Table 2 Employment distribution by sector ('000)

Sector

1984

1987/88

%

%

Agriculture

3,311

61,1

4,203

66,1

Mining

27

0,5

69

1.1

Manufacturing and Utilities

588

10.9

436

6,9

Construction

65

1.2

80

1.3

Transport and Comm.

792

14.6

857

13.5

Finance and Business Services

27

0.5

24

0.4

Government Services

474

8.7

557

8.8

Total Employment

5,422

100.0

6,354

100.0

Unemployment

128

123

Labour force

5,580

6,477

Unemployment (%)

2.8

1.9

Source: ILO/JASPA, Employment mission report Details regarding the sectoral distribution of labour can be obtained from the census data for 1984 and the 1987/88 Ghana Living Standards Survey.