Investigating the Impact of Foreign Direct Investment on the Tourism Industry Performance in Ghana

Abstract

This research investigates the impact of Foreign Direct Investment (FDI) on tourism industry in Ghana, with a focus on quantifiable outcomes. The study employs robust methodology, utilizing an e-Delphi approach to gather expert opinions through questionnaires. The sample size of 209 respondents, representing various sectors within the Accra business region, was determined using the Slovin's formula. Majority of the respondents fall within 21-50 age range. Findings indicate positive effects of FDI on Ghana's tourism performance. Specifically, majority of the respondents agreed that more 4 and 5-star hotels have been built through FDIs, while establishment of modern hyper shopping malls increased. Furthermore, the study recognized the impact of FDI in attracting visitors through assets like the canopy walkway at Kakum National Park. Notably. The study also acknowledged the positive role of FDIs in modernizing road infrastructure thus reducing accidents to tourist sites. The findings of study affirm the transformative influence of FDIs on Ghana's tourism sector. Recommendations include promoting FDI for tourism infrastructure, fostering public-private partnerships, addressing skill development challenges, enhancing data collection, diversifying revenue streams, and ensuring strong government support. Implementing these suggestions can optimize the positive impact of FDIs, propelling Ghana's tourism industry towards sustainable growth and economic development.