Business of sports infrastructure: Comparative analysis of NPP and NDC manifestos
As Ghana heads toward the 2024 presidential election, there is a focus on how the two major political parties—the ruling New Patriotic Party (NPP) and the opposition National Democratic Congress (NDC)—plan to revolutionise the country’s sports industry through major initiatives to boost the infrastructure.
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Both parties have rolled out ambitious blueprints that promise to transform Ghana’s sporting landscape, with far-reaching implications for economic development and youth participation in sports.
With the two parties unveiling their manifestos, the Graphic Business presents a comparative analysis of their sports proposals, examining the funding strategies, feasibility, and the critical need for sustainable financing to ensure these ambitious projects come to fruition.
NPP's legacy and ambitions
The NPP’s manifesto delivered by its flag bearer, Dr Mahamudu Bawumia, spotlights an impressive track record in sports infrastructure development, with claims that no other government since 1992 has achieved more.
It highlights the construction of six new multi-purpose stadiums or Youth Resource Centres across Ghana and a dramatic increase in the number of public Astro Turf football fields —from three in 2016 to 150 by 2024.
The NPP’s infrastructure agenda includes several key initiatives aimed at building on this legacy.
Funding Strategy
1. Tax Incentives: To galvanise private sector investment, the NPP proposes a range of tax incentives, including a flat tax regime.
These incentives are designed to attract investment in sports, tourism, and creative arts facilities.
The idea is that by making such investments financially appealing, the government can stimulate the private sector to partner in the construction and maintenance of high-quality sports facilities.
2. Sports Development Fund: Central to the NPP’s funding strategy is the creation of a Sports Development Fund.
This fund is intended to channel financial resources into the development of sports infrastructure, grassroots programmes, and talent nurturing, including the revival of colts (juvenile) football.
By establishing this fund, the NPP aims to ensure that sports infrastructure projects have a dedicated and sustainable source of financing.
3. Public-Private Partnerships: The NPP plans to leverage public-private partnerships to draw in private sector resources and expertise.
The success of this strategy will hinge on how attractive the tax incentives are to investors and the effectiveness of these collaborations.
The party’s focus on grass-roots sports facilities, such as the expansion of AstroTurf pitches, and the introduction of the “Operation Olympics Glory” programme for the 2028 Los Angeles Olympics, underscore a commitment to long-term sports development.
Funding challenges
However, it is crucial to note the challenges the government has faced in funding large-scale projects under similar initiatives.
The Borteyman Sports Complex and the refurbishment of infrastructure for the 2023 African Games in Accra required financing through an Afriexim Bank loan.
Additionally, the construction of multi-purpose Youth Resource Centres across the country is being financed through the National Youth Authority (NYA) via the District Assembly Common Fund, which has often been in arrears.
These financial struggles highlight the importance of establishing a sustainable source of funding to avoid delays and ensure the timely completion of projects.
NDC's decentralised plan
The NDC’s manifesto presented last Saturday at Winneba by John Dramani Mahama offers a broad and decentralised approach to sports infrastructure development, focusing on urgent refurbishments and the equitable distribution of sports facilities across the country.
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The party’s proposals are designed to address long-standing issues with Ghana’s sports infrastructure and promote a more regionalised approach to development.
Funding Strategy
1. Government Funding: The NDC pledges to use government resources for the immediate refurbishment of major national stadiums, including those in Accra, Kumasi, Tamale, Cape Coast and Sekondi (Essipon).
This approach signals a direct commitment to improving sports infrastructure, although it raises questions about the sustainability of relying solely on government funding.
2. Investment in Sports Education: A significant aspect of the NDC’s plan is the upgrade of the University of Education (Winneba) Sports College into a modern sports university.
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This initiative, supported by government investment, aims to elevate sports education and administration by offering advanced training in sports science, medicine and management.
The NDC also plans to establish Sports Centres of Excellence and multi-purpose sports facilities in each region to decentralise sports development.
3. Public and Private Sector Collaboration: Like the NPP, the NDC intends to collaborate with the private sector to fund the development of these sports facilities.
The party’s manifesto highlights the need for partnerships between the government, private entities, and international sports bodies to ensure the successful execution of these projects.
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Sustainable Funding conundrum
The challenges in completing existing projects, such as the struggle to finish the Youth Resource Centres due to delayed funding from the District Assembly Common Fund, underscore the critical need for a more sustainable financing model.
The Ministry of Youth and Sports’ annual budget often allocates minimal resources for capital expenditure, making it imperative for both parties (NPP and NDC) to develop a dedicated and reliable source of funding for its ambitious infrastructure projects.
A sustainable financing strategy is essential not only to avoid delays and cost overruns but also to unlock the enormous potential of the sports industry for job creation and GDP growth.
Feasibility and economic implications
Both the NPP and NDC present robust visions for the future of Ghana’s sports infrastructure, but their funding strategies and potential economic impacts differ significantly.
NPP’s Strategy
The NPP’s reliance on tax incentives and the establishment of a Sports Development Fund reflect a strategic effort to involve the private sector in financing sports infrastructure.
This approach has the potential to generate substantial investment if the incentives are compelling enough to attract investors.
Moreover, the Sports Development Fund could provide a more sustainable and dedicated source of financing for sports projects, reducing the reliance on ad hoc loans or delayed public funds.
NDC’s Strategy
The NDC’s commitment to using government funding for immediate refurbishments and regional development reflects a more direct approach.
However, the feasibility of this strategy depends on the government’s ability to allocate sufficient resources and manage them efficiently.
Given the historical challenges with funding major projects, the NDC’s approach raises concerns about sustainability.
Nevertheless, if the party can establish a reliable and dedicated source of funding—potentially through innovative public-private partnerships—the economic benefits could be substantial.
The future of Ghana’s sports infrastructure—and its broader impact on the economy and community development—will ultimately hinge on the ability of either party to establish and maintain a sustainable source of funding, ensuring that these lofty promises do not remain unfulfilled ambitions.