Togo First
Togo: Germany’s Ambassador Leaves After Four Years
Matthias Veltin, the outgoing Ambassador of Germany to Togo met with President Faure Gnassingbé last Tuesday, in Lomé. The European official was in Togo for four years.
“I met with the Head of State to give him an update on cooperation. We discussed bilateral cooperation. Relations between the two countries are good,” the German said after the meeting.
During the European’s stay in Togo, Germany supported the African nation in many areas–economic, social, environmental, agriculture, and energy–through GIZ and KfW development bank.
Germany, notably, contributed €70 million to the EU’s financial package to help Togo boost its agribusiness and energy sectors. Berlin also teamed up with the EU to help implement the Savanes Emergency Program (PURS) in Togo.
Germany is one of Togo’s major bilateral partners in Europe. Since the two countries resumed cooperation in 2012, financial subsidies provided by Germany reached €425 million.
Matthias Veltin lauded the partnership between the two sides and said cooperation would be sustained, especially relative to security.
Back in November last year, the two governments, it is worth noting, had committed to reinforcing their ties.
Esaïe Edoh
Togo Draws CFA2.34 billion Plan to Develop its Roots and Tuber Industry in 2024-2028
Togo needs CFA2.34 billion to develop its roots and tuber sectors over the next five years, going from 2024 to 2028. The investment was outlined in the country’s 2024-2028 Action Investment Plan for the Root and Tuber Crops (RTC) Sector. This plan was developed by the Ministry of Agriculture, Livestock, and Rural Development and the Interprofessional Council of the Root and Tuber Crops Sector (CIF RTC).
The overall goal of this plan, which was published in 2023, is to increase Togo’s roots and tuber output by 15% and achieve a 15% processing rate, by 2028. Diving deeper, the plan aims to improve RTCs’ productivity and quality, boost the value of the products, improve marketing channels, and strengthen the governance and financing mechanism of the sector.
A three-pronged plan
The action program is divided into three axes. The first focuses on boosting productivity, and product quality; it is set to cost CFA755 million, of which CFA306.5 million should come from the State. Axis 2 focuses on enhancing and marketing RTC sector products, and it is expected to cost CFA726 million; The State should provide CFA106.25 million. The third and last axis is dedicated to strengthening the governance and financing mechanism of the sector. It will require funding of CFA865.2 million, of which 202.5 million FCFA will be allocated by the State. The private sector and technical and financial partners will need to contribute to covering the rest of the program costs.
Modest but steady growth in production
As demand grew in recent years, Togo’s tuber output rose as well. For the 2022-2023 agricultural campaign, figures show a 2% increase YoY–from 2.19 million tons to 2.23 million tons. Specifically, cassava production rose from 1.20 million tons to 1.22 million tons, yam production from about 960,000 tons to about 984,000 tons, and taro and sweet potato also saw a slight increase.
Ayi Renaud Dossavi
Togo: Lomé District Launches Call for Environmental Protection Projects
The French Development Agency (AFD) will be financing many projects aimed at protecting and preserving the environment in Lomé, Togo. In this framework, the Autonomous District of Greater Lomé (DAGL) just launched the third edition of the call for projects aimed at federations and sports associations operating in the Greater Lomé area.
Launched on July 19, the call closes on August 21. Through it, the DAGL will select projects that promote sports activities in Greater Lomé, primarily those involving women and girls. These projects will be an awareness-raising component focused on waste management in particular, and environmental protection in general.
For this third edition, the District has a budget of 35 million FCFA to finance or co-finance the selected projects. The selected associations or federations will receive between 2.5 million FCFA and 5 million FCFA.
The DZGL’s call also falls under the third phase of the Urban Environment Project of Lomé (PEUL 3); its fourth component, "Sports and Development", to be specific. AFD backs the project with CFA105 million.
Esaïe Edoh
WAEMU: BOAD Secures Major Credit Insurance Deal to Better Finance Economies in the Region
The West African Development Bank (BOAD) has signed a CFA278 billion credit insurance policy with nine private European insurers. The lender disclosed the signing on July 17, 2023, and emphasized that credit insurance represents 11% of its total loan portfolio.
According to the BOAD, the contract will help raise this portfolio’s average rating and, consequently, positively influence its "investment grade rating" (highest-rated issued bonds).
"This insurance policy, which enhances our risk profile and that of our borrowers, will enable us to raise resources under the best conditions on the financial markets and to align ourselves with the implementation of the DJOLIBA plan initiated in 2021 with the ambition to finance 3,300 billion FCFA of projects for the benefit of UEMOA member states by the end of this plan in 2025," explained Serge Ekué, BOAD’s President.
"This is a major milestone in the deployment of the 'originate to distribute' method adopted by the Bank as part of the implementation of its Djoliba Strategic Plan," a statement from the financial institution further indicated.
The recent credit insurance covers all member States of the West African Economic and Monetary Union (UEMOA), helping the BOAD better finance these economies.
Eighteen (18) months before it signed the related policy, the BOAD signed its first individual insurance policies.
Esaïe Edoh
Togo: Telecom Regulator Works on Partnership with Municipalities to Better Protect Consumers’ Rights
Togo’s telecom regulator, the ARCEP, is working on a partnership with local municipalities to better protect telecom consumers’ rights across the country. The partnership should soon materialize, according to the watchdog.
The announcement comes after the ARCEP sent a delegation to raise people’s awareness about their rights as telecom users in 10 of the country’s towns. The mission focused especially on the issues of poor service quality, high rates, and mechanisms in place to prevent consumers from being cheated by telecom operators and to protect them against non-ionizing radiation.
The 10 towns visited by the ARCEP’s delegation were Aného, Atakpamé, Bassar, Dapaong, Lomé, Kara, Kpalimé, Mango, Notsè and Sokodé. Alongside the delegation were consumer rights advocacy associations, knowingly the Togolese League of Consumers (LCT), the Togolese Association of Consumers (ATC), and the Martin Luther King Movement (MMLK).
ARCEP said it reached, during the trip, 234 representatives from the 117 municipalities, and over 700 local representatives of the three partner consumer associations.
Ayi Renaud Dossavi
UMOA-Titres: Togo Repaid CFA182 Billion in H1 2022, up 39% YoY
Over the first half of 2023, the Togolese Treasury has repaid CFA182 billion in debt, contracted via Umoa-Titres. According to data consulted by Togo First, this is 39% more than the amount repaid in H1 2022–CFA131 billion.
In detail, over the first six months of this year, lomé repaid CFA20.33 billion for Fungible Treasury Bills (BAT) and 161.39 billion FCFA for Fungible Treasury Bonds (OAT).
The previous year, the CFA131 billion repaid covered only fungible treasury bonds.
This year, Togo wants to borrow CFA574 billion from the WAEMU market. So far, it has already secured CFA430 billion, which is about 75% of its target.
Esaïe Edoh
Togo Wants to Produce 10,000 t of Fonio by 2028
Togo is cooking up a plan to ramp up its fonio output in the coming years, to 10,000 t exactly by 2028.
"The overall goal is to double current production to at least 10,000 tonnes of quality paddy fonio, to meet both local and external demand by 2028,” says the Ministry of Agriculture, Livestock and Rural Development, in its Investment Action Plan for the Fonio Sector (2024-2028).
The plan should cost a little over CFA5 billion to implement. The State and its partners will mobilize the funds.
The plan's strategic axes are: improving production capacity (Axis 1), supporting processing (Axis 2), marketing (Axis 3), supporting the organization and governance of the sector (Strategic Axis 4); and finally, coordination and monitoring-evaluation (Strategic Axis).
According to the country’s Office of Agricultural Statistics, Togo produced 4,471 t of fonio during the 2022-2023 agricultural campaign. Fonio is the fifth most consumed cereal in the country (after corn, sorghum, millet, and rice).
Ayi Renaud Dossavi
Green Climate Fund Reaccredits the West African Development Bank to Combat Climate Change
The Green Climate Fund (GCF) has reaccredited the West African Development Bank (BOAD) at the end of its 36th Board of Directors meeting held from July 10 to 13, 2023, in South Korea. The Fund will thus provide the African lender with resources to fight against climate change in line with its 2024-2027 strategic plan.
The reaccreditation includes more financing for environmental and social projects. In effect, the BOAD could get up to $250 million, or about CFA146 billion, per project for the WAEMU States.
The WAEMU States will receive grants and loans at rates between 0 and 1.75% as well as guarantees, and refinancing lines to fight against the harmful effects of climate change.
"At BOAD, we remain determined to support our member states in financing projects aimed at mitigating the harmful effects of climate change, and to support their efforts towards a decarbonized economic development, in line with the commitments of our strategic plan 2021-2025, one of which is to dedicate 25% of our financing to support our member states in strengthening their resilience to climate change," said Serge Ekue, President of BOAD.
The GCF attributes the reaccreditation to BOAD’s recent investments and performances in areas of interest such as infrastructure, production and access to energy, livelihoods of people and communities, forests and land use, ecosystems and ecosystem services, health, food, and water security.
The Green Climate Fund is a global fund created to help developing countries tackle climate change and its impact, helping them cap or reduce their greenhouse gas emissions and adapt to climate change.
Esaïe Edoh
Togo Sees Strong Growth in Services Sector
In Togo, non-financial services activities experienced an annual growth of 14.6% in April 2023. This is according to the Economic Situation Report of June 2023 for the West African Economic and Monetary Union (WAEMU).
The report, which was released by the Central Bank of West African States (BCEAO), indicates that Togo posted the highest annual growth for April, just ahead of Senegal (+7.1%) and Niger (+5.9%).
Overall, within the WAEMU, non-financial services recorded an annual growth of 4.5% in April 2023, compared to 2.5% in March 2023.
As for financial services (related to banking, insurance, investment, and management of monetary flows), the country posted a double-digit growth of 15.9% year-on-year. In the sub-region, Togo ranked just behind Mali (+18.8%), Ivory Coast (+18.6%), and Burkina Faso (+16.4%).
Compared to March, services across the whole of WAEMU decreased slightly -by 0.2%- in April. From February to March, they were up by 2.6%. Financial services, meanwhile, grew by 1.8% in April 2023. They were up by 0.7% the previous month.
Ayi Renaud Dossavi
Togo Greenlights CFA9.5 billion Plan to Develop its Pineapple Industry
Togo has just validated a five-year investment plan going from 2024 to 2028 for its pineapple industry. The strategy, conceived in May 2023, is valued at CFA9.5 billion.
Goals set in the plan include doubling the national output, from 44,391 t to 88,782 t by 2028, and boosting local processing from 35% of the production to 75% by 2028.
Funds needed for the project should come from the State, the Interprofessional Council of Pineapple in Togo (CIFAN), as well as from technical and financial partners.
The plan will focus on three key pillars: promoting sustainable cultivation methods, improving local farmers’ access to the market, and improving the institutional framework and governance in the sector.
"The pineapple value chain is still underdeveloped, but it offers interesting prospects for Togo's agricultural economy provided that the players mobilize to strengthen it," said the Ministry of Agriculture and the stakeholders connected to the strategy.
Togo plans to capitalize on its pineapples’ aroma and taste, which demark the country from competitors. It also can expand pineapple cultivation and occupies a prime position in the organic produce market, which is in strong demand. This value chain has enough assets to be part of the agro-industrial and agropole dynamic promoted by the national authorities and their partners.
According to GIZ, in Togo, 76% of the production is organic, against 24% for conventional pineapple farming. Yields vary from 40 to 50 tonnes per hectare, for a national pineapple production of 44,391 tonnes.
Ayi Renaud Dossavi