Abstract

This research presents a case study investigation of the construction sector in Ghana, and links the debate on foreign direct investment (FDI) dependency to that on FDI and working conditions. To this aim, the study combines the points of view of policy-makers with those of managers and workers of both foreign and domestic construction companies. The results, firstly, highlight the role that exposure to international business models plays in the industrial upgrading of local Ghanaian contractors. Secondly, they shed light on wage formation dynamics and on workers’ definition of satisfactory employment conditions. Thirdly, they show that an integrated policy reform approach is needed to address the interdependency of the latter two findings. Finally, the study discusses some options to deal with the public financial constraints that prevent the implementation of administrative and policy reforms in the sector.