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Ghana remains an LEDC because...

Environmental reasons
1. 3 quarters of the rainforest has been destroyed for firewood, timber, land and to grow cocoa.
  1. This is causing deforestation and the soil becomes exposed and useless. People cannot afford fertiliser to improve the soil quality.
    1. This means more smaller crops to eat and sell
2. Land is very important to people in Ghana. But in the North land is turning into desert.
  1. This is causing desertification. This happens because of drought, chopping down trees and overgrazing.
  2. 56% OF Ghana's workforce are farmers
Trading troubles
1. Ghana relies heavily on cocoa to earn money. The world price less from this producetrice of cocoa is going up an down. Some year Ghana earns
2. Many people in Ghana grow rice. But a lot cheaper rice is coming in from USA, Asia and Europe. The rice then gets subsidies, as a result it has put many Ghana's farmers out of business.
3. In the same way as the rice Ghana's chicken farmers cannot compete with the frozen chicken coming in from Europe and the USA.
4. Unfortunately Ghana is not allowed to stop these imports and many people think it is unfair. Many people think that poorer countries like Ghana should have the rights to protect their farmers and fragile industries.
Big debts
1. Ghana has borrowed a lot of money in the past so the country has had to pay a lot of interest each year. This means there is less money for development.
2. In 2004 Ghana was given a debt relief which means richer countries and the world bank agreed to pay of over half its debts. However Ghana still owes an enormous total of $2.6 billion.
Historic Reasons
1. They traded their Gold for money to the Europeans.
2. Each Kingdom had their own language and culture.
3. They sold at least 5000 slaves to the Europeans every year.
  1. Villages and families were torn apart. This went on fro 150 years.
4. In 1957, they gained independence.
5. The Europeans competed to trade with them and by 1901, Britain had taken over.
  1. The British shipped out, Gold, Diamonds, ivory, Pepper, Timber, Corn and cocoa
  2. British made the people from Ghana pay the taxes for road, schools and hospitals.
Political Reasons
1. The army took over the country for three separate periods.
  1. But now it is stable, under an elected government. People say it will remain stable.
2. Since the independence, Ghana has suffered much political unrest.

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Ghana remains an LEDC because...

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	Created by 11dphillips almost 11 years ago