Togo: Microfinance loans recover in Q3 2025 after second-quarter dip

Public Management

Thursday, 05 February 2026 16:09

Togo: Microfinance loans recover in Q3 2025 after second-quarter dip

(Togo First) - Outstanding loans at microfinance institutions in Togo rose by 8.4 billion CFA francs, or 2.4%, at the end of September 2025.

The increase marks a recovery after a weaker second quarter of 2025, which saw a decline of 7 billion CFA francs and a quarterly drop of 1.9%. Outstanding loans at Togolese microfinance institutions have therefore resumed growth.

The figures are based on recent data from the Central Bank of West African States (BCEAO), which show that the sector recorded a simultaneous increase in deposits and credit in the country.

Rising savings

On the savings side, outstanding deposits collected by Togolese microfinance institutions grew by 12.1 billion CFA francs during the quarter, representing an increase of 2.7%.

This puts Togo among the contributors to regional deposit growth, behind Senegal and Côte d’Ivoire but ahead of Mali and Niger. Across the West African Monetary Union (WAMU), total outstanding deposits reached 2,731.6 billion CFA francs at the end of September 2025, up 11.1% year on year.

In Togo, deposit collection by microfinance institutions remained solid between the second and third quarters of 2025, against a backdrop of stability. After rising by 11.9 billion CFA francs in the second quarter, or 2.7%, deposits increased by a further 12.1 billion CFA francs in the third quarter, maintaining the same growth rate. This stability points to sustained savings momentum despite uneven regional trends.

These figures underline the central role of microfinance institutions in providing financial services to a large share of the population, particularly in financing households and small economic activities. However, average amounts remain modest, with deposits and loans per client below 140,000 CFA francs at the regional level, according to the BCEAO.

Credit risk also remains a concern. At the end of September 2025, one Togolese microfinance institution had been placed under provisional administration.

Ayi Renaud Dossavi

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