Audio By Carbonatix
Save for three different years, Ghana’s economy has grown by at least four percent annually since 2000, pulling along with it a very vibrant informal sector (World Bank, 2020). This reflects in the retail trade landscape where about ninety-six percent of all retail activity has been in the informal sector (Deloitte, 2016). These retail centres are characterised by small shops in wooden enclosures or a few built up shops located in commercial enclaves or along major streets and roads across the country (Anku & Ahorbo, 2017).
Formal retail trade has almost been an exclusive preserve of foreign ownership, starting from companies tracing their roots to colonial era trade entities like the United Africa Company (UAC), A.G. Leventis and others, who dealt mostly with imported goods meant for retail. The government of Ghana purchased A.G. Leventis in 1962 to pave way for the country’s first foray into formal retailing by creating the Ghana National Trade Corporation (GNTC) (Murillo, 2014). There was however competition from several Lebanese and Indian businesses (Murillo, 2011) for the major chunk of formal retail.
Most of the informal retail trading involved a mix of local goods or purchase of imported goods from wholesalers who were mostly Lebanese or Indian, with a few indigenous players in the mix (Gann, Duignan, & Turner, 1975). This type of trading evolved around the nerve centres of Makola Market, built in central Accra to replace the Salaga Market in 1924, and the Kumasi Central Market, which even in the early 1980s had at least 20,000 traders plying their trade (Robertson, 1983).
These were the principal retail points from which there was a dissipation of intensity around informal trade along major urban routes down to neighbourhood shops and corner shops which were mostly owned by locals in a community, or depending on the type of goods, migrant members in the community, some of whom could even be foreigners from other West African countries, chief among them being Nigerians, Malians and Nigeriens.
In the 1960s retail activity was largely influenced by the Import Substitution Industrialization policies at the time through the sale and distribution of more locally manufactured products and hence the rise of local retailers. Most of the manufacturing was done by state corporations, accompanied by protectionist policies to reduce imported products. This empowered a network of many local retailers in the form of market women, which evolved into a more localised retail infrastructure for locally manufactured goods.
Latest Stories
-
England are tough, but we can play against Ghana, Panama – Croatia coach reacts to World Cup draw
2 hours -
We can beat anyone – Otto Addo reacts to World Cup draw
2 hours -
GPL 2025/26: Mensah brace fires All Blacks to victory over Eleven Wonders
4 hours -
This Saturday on Newsfile: Petitions against the OSP, EC heads, and 2025 WASSCE results
4 hours -
Ambassador urges U.S. investors to prioritise land verification as Ghana courts more investment
5 hours -
Europe faces an expanding corruption crisis
5 hours -
Ghana’s Dr Bernard Appiah appointed to WHO Technical Advisory Group on alcohol and drug epidemiology
5 hours -
2026 World Cup: Ghana drawn against England, Croatia and Panama in Group L
5 hours -
3 dead, 6 injured in Kpando–Aziave road crash
5 hours -
Lightwave eHealth accuses Health Ministry of ‘fault-finding’ and engaging competitor to audit its work
5 hours -
Ayewa Festival ignites Farmers Day with culture, flavour, and a promise of bigger things ahead
6 hours -
Government to deploy 60,000 surveillance cameras nationwide to tackle cybercrime
6 hours -
Ghana DJ Awards begins 365-day countdown to 2026 event
6 hours -
Making Private University Charters Optional in Ghana: Implications and Opportunities
6 hours -
Mampong tragedy: Students among 30 injured as curve crash kills three
6 hours
