Togo : Afreximbank should invest in various infrastructure projects (Coface)

Economic governance

Tuesday, 06 February 2018 16:35

Togo : Afreximbank should invest in various infrastructure projects (Coface)

(Togo First) - This year, the African Import-Export Bank Bank (Afreximbank) should raise funds to support trade and construction projects in the sectors of transport, energy and logistics in Togo. This was disclosed by Coface last week, in its latest economic outlook.
Though the credit-insurer did not precise the amount to be disbursed, the Cairo-based lender could spend up to a billion dollars, according to its president, Benedict Oramah, who promised this in November 2016. Since then however, things have changed much and Togo has decided to cut public debt by reducing public investment in favor of private investment.
It is therefore very unlikely for the commitment made by Benedict Oramah ($500mln-$1bn) to be concretized. Nevertheless, regardless of its size, this investment falls under the bank’s strategy aiming to double trade volume in Africa, by 2020.
Truth is, Togo has what it takes to be a leader in the services sector and a logistic hub for goods and services in Africa. Looking at this and also at Afreximbank’s strategy for intra-African trade, Coface said the “best infrastructures paired with the presence of the only deep-water port of West Africa, in Lomé, would make Togo a favored destination for private investment in 2018, in the sub-region”.
It should be recalled that in 2016, Togo became the 40th member of Afreximbank. The latter was created in 1993 on an initiative of the African Development Bank (AfDB) to support African trade. In Togo, Afreximbank wishes to stimulate private sector’s growth, while helping boost power production capacities and develop transport and logistics infrastructures.

Fiacre E. Kakpo

REFORMS OVERVIEW

STARTING A BUSINESS (more info)

At the fifteenth position, worldwide, and first in Africa, under the Starting a Business index of the 2020 Doing Business ranking, Togo sustains its reformative dynamics with more reforms….

ENFORCING CONTRACTS (more info)

Compared to some years ago when it was one of the lowest rankers under the Doing Business’ Enforcing Contracts indicator, Togo, leveraging many efforts to improve its business climate, was able to jump significantly on the index in the recent years... .

CONTRACT EXECUTION (more info)

Creation of special chambers of commerce for small debts • Creation of chambers of commerce at the Court of Appeal • Civil and commercial cases now handled by distinct clerks • Establishment of commercial courts in Lomé and Kara • Lawyers and bailiffs now have access to the FORSETI COMMERCIAL platform • A maximum period of 100 days was fixed to settle a commercial dispute .

TRADING ACROSS BORDERS (more info)

In comparison to previous years,Togo has significantly improved its ranking under the“Trading across borders” indicator by adopting multiple reforms that focus mainly on the digitization and reduction in delays, for import and export procedures related to import and export.

In comparison to previous years, Togo has significantly improved its ranking on the “Trading across borders” index by adopting multiple reforms that focus mainly on the digitalization and reduction in delays, for import and export procedures related to import and export.

CONSTRUCTION PERMIT (more info)

After moving from the 133rd to 127th place under the 2020 Doing Business’ construction permit index, Togo intends to reiterate this feat in the coming edition of the global ranking. To this end, it has introduced this year multiple reforms.

GETTING ELECTRICITY (more info)

Over the past two years, Togo’s ranking under the Doing Business’ Getting electricity and water indicator has increased consistently. Owing this performance to multiple reforms aimed at making it easier for businesses to access power and water, Lomé plans to introduce even more reforms this year to keep up its improvements.

REGISTERING A PROPERTY (more info)

Out of all the 'Doing Business’ indicators, Property Registration is where Togo has improved the most since 2018. Indeed, after spending years in the lowest part of this ranking, the country now seeks to beat Rwanda which is the best performer on this index in Africa. To do so, Lomé has been introducing many reforms, with the latest batch implemented this year.

PUBLIC PROCUREMENT (more info)

From professionalization to digitization, through legislative regulations, Togo’s public procurement framework is constantly being modernized. Several reforms have been implemented to improve the sector much to the benefit of the private sector, which is the focus of the National Development Plan.

PAYING TAXES AND DUTIES (more info)

To improve its business environment, Togo introduced some important reforms related to the payment of tax and duties. From the replacement of some taxes to the cancellation of others through exemptions, the country has only one objective: offer the most attractive tax framework to investors and economic operators. To achieve this, the authorities relied on digitization.