Togo Mining Revenue Jumps More Than Sixfold in 2023 on Debt Offsetting

Mining

Thursday, 22 January 2026 10:51

Togo Mining Revenue Jumps More Than Sixfold in 2023 on Debt Offsetting

(Togo First) - Togo’s extractive sector generated about 124.25 billion CFA francs in 2023, up from 19 billion a year earlier, according to the EITI Togo 2023 Report published in late December.

While this suggests a year-on-year increase of 553.8%, the report says it does not reflect higher mining output. The jump is mainly due to debt-clearing operations involving Société Nouvelle des Phosphates du Togo (SNPT), worth 102.99 billion CFA francs.

With nominal GDP estimated at 5,563 billion CFA francs in 2023 (up 9% year on year), the extractive sector accounted for just 1.1% of GDP. It represented 15.6% of exports and 10.9% of public revenue, making it central to foreign exchange earnings and fiscal stability.
Total government revenue from extractive industries rose to 119.4 billion CFA francs in 2023. The bulk came from corporate income tax and customs duties, with additional non-tax revenue, notably dividends and mining royalties.
The sector remains highly concentrated, with SNPT and SCANTOGO MINES accounting for more than 97% of total recorded contributions.

This concentration highlights several vulnerabilities cited in the EITI report, including heavy reliance on a small number of operators, limited transparency due to offsetting mechanisms, and implicit subsidies, particularly for electricity.
For example, SNPT, WACEM and SCANTOGO MINES have benefited from preferential electricity rates since July 2022, according to ARSE’s 2023 activity report. These preferential rates reduce the utility’s revenue, effectively functioning as an implicit public subsidy and a quasi-fiscal cost, estimated at about 9.98 billion CFA francs in 2023.
The report, produced under the EITI framework, recommends a consolidated view of revenues, offsets and quasi-budgetary support to better assess the sector’s net impact on public finances and guide economic policy. It notes, for instance, that royalties alone are expected to exceed 10 billion CFA francs in 2026, while the sector’s overall contribution to the state budget is projected to be significantly higher, notably through corporate tax estimated at 201.1 billion CFA francs, with a substantial share coming from extractive companies.

Ayi Renaud Dossavi

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