Traditional leasehold of land for residential and commercial use in Ghana: Structure and practices from the Golden Stool

Paul Boniface Akaabre

Land Use Policy, 2023, vol. 131, issue C

Abstract: In 2019, the Golden Stool, the ultimate symbol of authority and power over land in Kumasi, acted to enforce Ghana’s traditional leasehold policy in the Central Business District (CBD), where lessees had expired or were due to expire. This action highlighted tenure security concerns as little is known about the traditional leasehold model, particularly how the lease is created and enforced upon its expiration. Knowing more about the tenure structure is broadly important: it will guide property owners (lessees) and prospective investors in the market and open grounds to further examine the extent to which this landholding model is a secured, efficient, and equitable market practice. Using the Golden Stool and the city of Kumasi as a case study, this paper examines (i) how leases are created and operationalized, including the terms and conditions, (ii) what happens upon the lease’s expiration and the conditions under which lessees lose their properties, (iii) how the community, for whom the land is held in trust by the Golden Stool, benefit from the leasehold policy, and (iv) whether there are measures to ensure equity as leases approach expiration. The study draws on in-depth interviews with traditional leaders (chiefs), lessees, estate developers and institutions directly involved in the management of lands in the city. The results point to a tenure trusteeship model which works to benefit the leaders (chiefs) and to the detriment of the community. The paper concludes that the Golden Stool’s leasehold model fails to meet the tests of legitimacy and certainty and thus recommends the formalization of practices, such as “drink-money” payments, as well as institution of official payment plans and leasehold interest packages upon lease expiration. These changes would improve land governance, tenure security and property rights for leaseholders in ways consistent with the norms of the Global Campaign for Secure Tenure (GCST).

Keywords: Property Rights; Land Tenure; Lease; Leasehold; Traditional Leasehold; Drink-money; Chiefs; Golden Stool; Manhyia Palace; Kumasi (search for similar items in EconPapers)
Date: 2023
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Persistent link: https://EconPapers.repec.org/RePEc:eee:lauspo:v:131:y:2023:i:c:s0264837723002132

DOI: 10.1016/j.landusepol.2023.106747

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