Local revenue mobilisation in Ghana: Why similar metropolitan and municipal assemblies exhibit different outcomes

Abstract

Revenue mobilisation for local development has gained significant global attention in recent years. Particularly, attempts to maximize the efforts for improved revenue collection in developing countries are weakened due in part, to the calibre of human resources available and the kind and extent of available innovative practices used. Extant literature suggests that revenue variability at the local government level is rare in developing countries. This paper expands this body of knowledge by examining the quality and capacity of human resources and innovation and how those factors help explain different revenue mobilisation outcomes among urban Assemblies in Ghana. It is demonstrated in the discussions that despite some capacity challenges, some assemblies can raise more revenue internally than others even though they share similar characteristics. Through key informant interviews and a survey of opinions of ratepayers in four Urban Assemblies in Ghana, it was found that while some assemblies can navigate through the challenges using staff empowerment and some innovative strategies for better mobilisation outcomes, others are unable to do the same and thereby struggle in their revenue mobilisation drive. This paper is part of a broader effort to examine the extent to which local revenue mobilisation can be scaled-up in the face of several constraints in a developing country context.

Keywords

• Quality and capacity of human resources
• Innovation
• Local government
• Revenue mobilisation
• Developing countries
• Ghana