Oil Production and the transformation of livelihoods of communities in Ghana

Executive Summary

Since the oil production started, prices have continued to increase for most basic commodities everywhere in Ghana. Ordinary people on the streets are especially affected by these price increments. There is growing frustration within society that the growth in the economy since oil discovery and subsequent production has not translated into fulfilling the expectations of many people. This study aims to extend the focus of research on the influence of oil discovery on the Western Region to all the ten regions of Ghana. The study gathers the populations’ perception on their living conditions, job situation and infrastructure conditions.

Friedrich-Ebert-Stiftung in collaboration with You-net conducted this study by conducting a quantitative survey across the ten regions of the nation using a total of 3000 questionnaires which were administered to individuals from various economic and socio-cultural backgrounds. This survey was conducted to get a clearer picture on the state of living conditions in the country since oil production started. The results are based on perceptions and experiences of the respondents gathered from the nationwide survey.

The document is divided into three main parts. Part one gives a background to the discovery and subsequent development of oil in Ghana. The benefits and the negative manifestations in oil producing countries discussed to show benefits of resource exploitation are not uniform in the endowed nations. The Livelihood Framework is used as an approach in depicting the expected scenarios oil exploitation in Ghana can have on the livelihood of the average Ghanaian.

Part one also describes how data for the study was collected. The sustainable livelihood framework was modified and operationalized to elicit the necessary information from respondents. The study areas used in the survey was selected given a wide number of considerations. The analysis of data was done using the Statistical Package for Social Sciences (SPSS).

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