Togo : Legal interest rate set at 4.5%

Banking
Thursday, 14 June 2018 18:55
Togo : Legal interest rate set at 4.5%

(Togo First) - Government set during the council of ministers held June 13, 2018, the legal interest rate for this year. From 3.5437% in 2017, this rate will thus stand at 4.5% as recommended by Central Bank of West African States (BCEAO).

Report of the ministers’ council states that “the legal interests represent indemnities owed to lenders, for damages or default interests, by a debtor who reimburses late. They stand in the stead of a preliminary rate set by involved parties when a debtor does not meet deadline for debt payment”.

For this year, “it equals average of maximum rates for refunding imposed on loans granted by BCEAO during the previous civil year, over corresponding periods”.

Fiacre E. Kakpo

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