The Effect of Savings on the Wellbeing of Migrants in Old-Fadama, Accra

Abstract

The phenomenon of rural-urban migration drift in Ghana has become a grave concern to many Ghanaians. Despite the good intentions of the migrants to seek greener pastures, the adverse consequences of the phenomenon usually leave much to be desired. Migrant remittances and accumulation of capital through savings have played an important role in the economic development, social resilience and the improvement of household wellbeing in many developing countries. This study sought to examine the effect of savings on the wellbeing of migrants in Old-Fadama, in Accra Metropolis. The study employed a combination of qualitative and quantitative methods in eliciting information. A sample of 100 migrants were interviewed for the quantitative part of the research, and views from two focus group discussions were elicited for the qualitative part of the research. Push factors came out as the main reasons behind migration. Additionally, savings made by the migrants were found to impact positively on their wellbeing. Therefore, the study concluded that savings made by migrants can particularly improve their livelihoods and the national economy in general. A policy recommendation was suggested to encourage the migrants to save in order to ensure a better future.