Here are the Top 4 international commercial banks that account for Togo’s 2020 debt
Tuesday, 01 June 2021 17:34 
(Togo First) - In 2020, Eximbank China was the commercial bank that provided the highest portion of Togo’s foreign debt. According to data recently published by the Ministry of Economy and Finance, Togo borrowed XOF279 billion from the Chinese bank, representing 59.9% of the amount the country raised from foreign commercial banks.
Year on year, Togo’s debt to Eximbank China is down by 7% since, in 2019, it was XAF300 billion. The 2020 debt was raised with an average of 2% interest rate repayable over 20 years. It was raised to mainly implement large infrastructure projects like the construction and renovation of the Gnassingbé Eyadéma international airport and the construction of by-pass roads, according to Togolese authorities.
Eximbank China is followed, by far, by French bank Société Générale, which provided over XAF96 billion to Togo. The commercial debt Togo owes to Société Générale represents 20.75% of the overall commercial debt while in 2019, the country incurred no commercial debt from the French bank. This debt was incurred during the second phase of the domestic debt restructuring operation Togo organized in June 2020. During the operation, Togo raised funds at an average interest rate of 4.54% with roughly 6 years maturity to refinance two loans from the West African Development Bank (BOAD) and one from Ecobank.
The third commercial bank that accounted for Togo’s 2020 foreign debt is the Japanese Bank of Tokyo MUFG, with XAF67 billion (14.55%) lent to the country. That fund was also borrowed during the above-mentioned refinancing operation. In the framework of the operation, in December 2020, Togo raised €103.625 million (XOF67.97 billion) from Bank of Tokyo MUFG, repayable over 10 years, with two years of differed payment. The average interest rate for this debt is 4.68%.
The commercial bank which closed the top4 is Eximbank India. With XOF22.3 billion, repayable over 22 years, and a 1.75% interest rate, Eximbank India accounts for 4.77% of Togo’s foreign commercial debt.
In 2020, Togo’s commercial debt was XOF467 billion, up from XOF387 billion in 2019. This rise was mainly due to the refinancing operation the country organized that year.
