Togo's Economy Surges in Late 2024 After Rocky Start

Public Management

Monday, 15 September 2025 10:44

Togo's Economy Surges in Late 2024 After Rocky Start

(Togo First) - Togo's economy delivered a dramatic turnaround in the final months of 2024, capping a volatile year with explosive growth that masked earlier struggles.

The West African nation's gross domestic product soared 17.7% in the fourth quarter compared to the same period in 2023, according to newly released estimates from the Institut national de la statistique et des études économiques et démographiques (INSEED). This surge helped push annual growth to 6.5%, up from 6.2% in 2023.

A Tale of Two Halves

The year began ominously. Togo's economy contracted 5.8% in the first quarter, reflecting persistent sectoral tensions and underlying economic fragility. But momentum shifted dramatically as 2024 progressed: growth rebounded to 9.3% in the second quarter, moderated to 3.8% in the third, then exploded in the final three months.

Three Pillars Drive the Boom

The recovery drew strength from across Togo's economy. Agriculture led the primary sector to 10.8% growth, buoyed by strong harvests and government support through planned agricultural zones (ZAAP), subsidized fertilizers, and mechanization initiatives.

The secondary sector proved even more dynamic, expanding 18.2%. Construction dominated this surge, fueled by major public and private projects and activity at the Plateforme industrielle d'Adétikopé (PIA). Extractive industries added momentum with growth exceeding 25% for the year.

Services—the economy's backbone—delivered the strongest performance with 19.4% growth in the final quarter. Trade flourished during year-end festivities and intensified import-export activity. Digital and communication services maintained steady expansion at 11.4% annually, while business services jumped 18.5%.

Notable Weak Spots

Not every sector shared in the prosperity. Electricity and gas production and distribution plummeted 42% in 2024, representing the year's most significant setback. The hospitality sector also struggled, with accommodation and catering falling 8.6%. Public administration's contribution declined 8.9%.

Government Strategy Bears Fruit

Officials credit the turnaround to reforms outlined in the Government Roadmap 2020-2025, which targets economic diversification, logistics strengthening, and infrastructure modernization. Key initiatives include support for agri-food small and medium enterprises, service digitization, and upgrades to the port of Lomé—a critical regional hub.

The results suggest Togo's strategy of building a more resilient, diversified economy may be gaining traction, though the sharp quarterly variations highlight ongoing volatility in this small but strategically positioned nation.

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.