Optimising Private Sector Participation in Local Economic Development: A Study of Kwahu South Municipal Assembly in the Eastern Region of Ghana

This article focused on the preferred partnership arrangement in undertaking local economic development (LED) initiatives and the constraints to the effective participation of the private sector in LED initiatives in Ghana using the experience of the Kwahu South Municipal Assembly. With the help of a qualitative case study, key informants were purposively selected from the study area and primary data were collected using in-depth interviews. The findings of the study posit that the overarching form of partnership used in undertaking LED initiatives is Build Own Operate and Transfer and Joint Venture kind of partnership arrangements and that most Joint Venture partnership arrangements are being converted into Build Own Operate and Transfer. Likewise, rules governing partnership arrangement, personal interest, operational policies, poor maintenance culture, lack of transparency and the politicisation of developmental initiatives are hindrances to private sector participation in LED activities. This study concludes that it is imperative to put in coping mechanisms that will enhance the active participation of the private sector in LED initiatives.