In Togo, merchant services, which include personnel services, accommodation and catering, housing, and communication services, among others, recorded a 4.4% growth in May 2023, year-on-year. The upward dynamic, which was recently disclosed in an economic note by the BCEAO, was spread across the West African Economic and Monetary Union (WAEMU).

In the Union, Togo, however, ranked third in terms of growth, behind Senegal and Guinea-Bissau, which recorded notable increases of 5.7% and 4.7% respectively.

Overall, within the WAEMU, non-financial merchant services experienced growth of 3.4% in May 2023 on a year-on-year basis; against 3.8% in April 2023 (still year-on-year). On a month-to-month basis, (between April and May 2023), the Union recorded a more modest but robust growth, at 1.4% in May 2023, following a slight decrease of 0.9% the previous month.

As for financial services, Togo recorded a year-on-year increase of 16.4%. The Union also experienced growth in this area. Ivory Coast, in particular, recorded a growth of 19.3%.

The Greater Lomé Autonomous District (DAGL) is running an awareness campaign on waste management. Launched on August 23, the project ends next year, in July. It is connected to phase 3 of the Lomé Urban Environment Project (PEUL III).

Broadly, the awareness campaign aims to urge the people of the Greater Lomé region to adopt environmentally-friendly behaviors. Among others, the campaign will focus on better communication on the DAGL’s major activities to improve solid waste management in urban areas. It will also promote best practices and behavioral change among the capital's population. The approach will also take into account the improvement of urban hygiene, thanks to the environmental and social security of the former Agoè-Nyivé landfill site.

Under the campaign, the DAGL’s Secretariat plans for TV and radio broadcasts, video projection campaigns, publications in the print and online media, and guided tours of the Aképé landfill site. Targeting Neighborhood Development Committees (CDQ), there will also be workshops enhancing good waste management practices.

The French Development Agency, AFD, backed the whole campaign with CFA100 million. 

Esaïe Edoh

A new power network was inaugurated last week in Koto-Copé, a village 17km south of Atakpamé. According to the Agence Togolaise de Presse (ATOP), the infrastructure includes a 20-meter medium-voltage network, a 50 kVA MV/LV transformer, 700 meters of low-voltage network, and 15 street lamps.

Launched by the Ministry of Energy and Mining, the project falls under Togo’s national electrification strategy, which also aligns with the 2020-2025 government roadmap. 

Several officials, but also religious and traditional figures, attended the inauguration. Notably, the prefect of Ogou, Akakpo Edoh, was present. 

Tinga Fund Support 

The project will be backed by the Tinga Fund for Electrification. This is a Fund that is committed to improving rural households’ access to electricity in Togo. 

In this regard, Essenouwa Degla, deputy director of the CEET, Togo’s power utility, noted that the Tinga Fund’s offers would be made available, “to make it easier for the population to be connected to the network set up”. "All eligible households will be able to benefit from a connection to the CEET distribution network, on payment of an entry ticket of 1,000 FCFA; the remainder of the connection cost will be spread over up to 10 years", he added. 

The project should contribute to Togo’s ambition of achieving an electrification rate of 75% by 2025 and 100% by 2030.

For the next two years, Yawa Kouigan, the mayor of the Ougou 1 municipality, will co-head the WAEMU’s Council of Territorial Collectivities (CCT-UEMOA), as Vice President. She was appointed on August 22, during the Council’s extraordinary assembly in Abidjan, Ivory Coast.

The Togolese official, according to the CCT-UEMOA, was picked in recognition of Togo’s respect for democratic principles. These include equitable representation of the different categories of local authorities in the member state, equitable geographical distribution of delegates across the member state's territory, consideration of the specific role of capital cities, and respect for the representativeness of women.

Kouigan, who also heads Togo’s Municipal Umbrella Organization, the FTC, will, as Vice President of the CCT-UEMOA, take part in the revision and implementation of the Council’s roadmap. 

The CCT-UEMOA contributes to discussions on policies and strategies concerning decentralization, local development, governance, public-private partnerships, the environment, and youth and women's employment.

Esaïe Edoh

The technical and financial rates of implementation of reforms initiated by Togolese ministries and public institutions reached 47% and 28%, respectively, in the first half of this year. The figures were disclosed last Thursday, August 17, by Affo Tchitchi Dedji, permanent secretary in charge of monitoring the country’s reform strategy and financial programs. 

The official revealed the statistics during a special meeting to assess the reforms’ implementation level. The meeting also aimed at initiating talks, identifying roadblocks to the implementation, and finding ways to accelerate it.

On the occasion, the result-based management method adopted by Togo three years ago was discussed. According to the officials present, additional steps are taken to support the method, in collaboration with Technical and Financial Partners. Affo Tchitchi Dedji, in this regard, assured that the reforms would continue being assessed, regularly, and improved upon to deliver optimal results by the end of 2023. 

The meeting was opened by Akou Mawussé Afidenyigba, cabinet director of the Ministry of Economy and Finance. "These reforms notably affect the public finance management system, agriculture, health, education, digital, land, environment, decentralization, employment, and social sectors with a particular focus on private sector development. These reforms, which are aligned with the vision of the Head of State, have made it possible, among other things, to improve the functioning and performance of all socio-economic sectors, and to maintain a sound macroeconomic and budgetary framework, despite the various shocks recorded," said the official cited by the ATOP. He took the opportunity to remind that major reforms had already been launched, with success, across various economic sectors, to boost Togo’s economic growth.

Over the first half of this year, the Togolese Tax Office collected and contributed to the State budget CFA368.32 billion in tax revenues. This is 5.8% more than the figure recorded in the same period, last year, which is CFA348 billion. The data was disclosed by the Ministry of Economy and Finance. 

Tax revenues collected over the first six months of 2023 represent 48.1% of the annual target–CFA912 billion.

The year-on-year increase is attributable to efforts to modernize the tax administration and enhance the collection of taxes and duties.

The revenues collected over the period under review break down into CFA200 billion collected by the tax commissioner’s office (up from CFA196 billion in H1 2022), and CFA168.13 billion collected by the customs department (against CFA152.25 billion).

Most of the tax revenues come from turnovers (value-added tax and financial transaction tax) for domestic taxing and from value-added tax on imported goods for external taxing. Combined, these taxes amounted to 116 billion in H1 2023, against 128 billion the year before, over the same period. 

Customs duties are the next most important contributors to Togo’s tax income. They stood at CFA61 bullion in H1 2023. Right behind them came corporate tax revenues which stood at CFA59 billion. 

Despite the evident progress, significant challenges remain, regarding taxation. Indeed, Togo’s tax burden remains below the 20% standard for the region. To improve this situation, Lomé, repeatedly, reiterated its commitment to expand its tax base and modernize tax collection mechanisms. By 2025, the country hopes to bring this tax base to 15%, against 13.6% in 2021. The ambition has been set under its tax office’s 2023-2025 strategy.

Fiacre E. Kakpo

Togo’s treasury just launched another simultaneous issue of fungible bonds and bills on the WAEMU market. With the operation, which closes on August 25, the country aims to raise CFA25 billion on the regional market. 

In detail, the fungible bills or Bons Assimilables du Trésor (BATs) have a nominal value of CFA1 million, a maturity period of 364 days, and multiple interest rates. The bonds or Obligations Assimilables du Trésor (OATs) have a nominal value of CFA10,000 and interest rates of 6% and 6.25%. They mature over 3 and 5 years, respectively, according to UMOA-Titres, the agency in charge of the operation.

Proceeds of the issue will be used to finance the State budget which stands at CFA1,957 billion. So far this year, the Togolese treasury has raised over CFA500 billion on the WAEMU market. 

Esaïe Edoh