Togo recorded an inflation rate of 7.1% in March 2023, up by 0.7% compared to the previous month (during which it fell). According to the National Institute of Statistics, and Economic and Demographic Studies (INSEED), which released the figure, the increase was driven, mainly, by food prices (which rose by 1.3%), and services such as restaurants and hotels (+0.8%). The costs of housing, water, gas, electricity, and other fuels also rose (+0.7% overall); just like clothing and footwear (+0.3%).

Under the food basket, citrus, other fresh fruits, tubers, and plantains recorded the highest price increase (+16.9%, 12.2%, and +8.8%, respectively). Right behind were fish and other dried or smoked products (+5.8%), and raw cereals (+1.5%). 

Last month, the prices of some products fell. These include alcoholic drinks, tobacco, and narcotics, as well as miscellaneous goods and services.

Excluding food costs and fresh produce, core inflation rose by 0.3%. However, the monthly change in the index excluding energy and fresh products recorded a slight decrease of 0.1%.

It is worth noting that prices of local products rose by 0.7%, slightly more than imported products, whose prices were up by "only" 0.4%.

Concerning general price levels, between March 2022 and March 2023, they grew by 6.3%, according to the INSEED. While attributing the increase to a rise in the costs of consumer products (excluding communication), the source said it reflects global economic pressures–supply issues and generalized inflation.

Government anticipates reduction

Lomé expects its inflation to fall to 6.8% this year, from 7.6% in 2022. The government’s expectation is based on the country’s anticipated economic growth rate, to 6.6%, after standing at 5.8% and 6% in 2022 and 2021, respectively.

Ayi Renaud Dossavi

In Togo, the Autonomous Port of Lomé (PAL) will spend CFA60 million on its environmental protection strategy this year. The funds will finance several operations falling under the port’s 2023 environmental action plan which was unveiled last week. 

Through the plan, the port’s management aims to: boost sanitation at the facility and on ships, sustainably manage pollution and nuisances, and ensure the safety and good health of port workers who work in logistics. 

The port’s strategy should equally reduce the environmental impact related to the operation of port services and participate in the infrastructure’s decarbonization process.

"Regarding coastal erosion, which is a major issue, it is also part of the environmental problem, and tackling this problem will help us better manage our port," commented Rear Admiral Fogan Kodjo Adégnon, managing director of PAL. However, for the official, environmental protection covers the sea, land, and air. 

The PAL’s 2023 environmental plan meets the requirements of ISO 14001, version 2015 for the Environment, which recommends the implementation of an environmental management system.

Esaïe Edoh

Bolstered by its recent success in the WAEMU market, Togo will attempt to repeat the experience. Lomé will seek again CFA30 billion on the regional market, through a simultaneous issue of fungible treasury bonds (OATs in French) and fungible treasury bills (BATs). The operation closes on April 24th.

In detail, the Togolese treasury hopes to raise CFA10 billion via the OATs. The securities have a nominal value of CFA1 million, multiple interest rates, and mature over 182 days. As for the BATs, Lomé expects them to bring in CFA20 billion. They have a nominal value of CFA10,000, mature over 3 and 5 years, and have interest rates of 5.7% and 6%, respectively. 

The operation’s proceeds, according to Umoa-titres, the agency in charge of managing the regional market, will finance Togo’s State budget for 2023. The latter stands at CFA1,957 billion – expenditures and revenues. 

So far this year Togo has raised CFA113 billion on the WAEMU market. In its latest issue, it secured CFA32 billion from regional investors, CFA2 billion more than it was seeking. 

Esaïe Edoh

The Millenium Challenge Corporation and Togo recently reinforced their partnership by signing the $12 million Compact Development Fund agreement. The agreement was signed last Friday, April 14, by the Togolese minister of finance, Sani Yaya, and Cameron Alford, vice president, Compact operations, at MCC. Alice Patterson Albright and Mahmoud Bah, respectively managing director of the Millenium Challenge Account and deputy managing director of MCC, were there as well. 

The agreement for the MCC-Togo Compact program was signed on the sidelines of the World Bank/IMF Spring Meetings which were held in Washington last week. 

The funds will help Togo prepare its project for the Compact, the biggest financing package the MCC grants countries. Togo, it is worth noting, became eligible for the program on December 14, 2022. 

The MCC Threshold program is already deployed in the country, in the land and ICT sectors. Togo secured $35 million in this framework.

For the Compact, the funds secured should finance energy and ICT projects. 

This was confirmed by Sani Yaya, who said during the recent signing that the deal "will take us to federate actions for the formulation of projects in the energy sector and Information Technology and Communication."

Ayi Renaud Dossavi

Togolese farmers and government officials will meet in Kara (northern Togo) on April 17-20, 2023. The town will host the final stage of Togo’s regional fora of agricultural producers (FOPATs).

The participants will review the sector’s performances and challenges its actors face. Also, the government will expose its vision for the structural transformation of Togolese agriculture to the farmers.

Just like he did in the previous venues that hosted the event, President Faure Gnassingbe will meet face-to-face with the region’s farmers and influential figures. 

A presidential initiative, the FOPAT aims to foster discussions and experience-sharing between Togolese farmers and decision-makers to ensure inclusive management in the agricultural sector.

Esaïe Edoh

President Faure Essozimna Gnassingbé was in Pya, a town located in Kara, in the northern part of the country, on April 12. There, the Togolese leader met with a delegation of officials from neighboring Burkina to discuss the security situation at the border of the two countries.

The Burkinabe delegation was led by Colonel Boukaré Zoungrana, the Minister of Territorial Administration, Decentralization, and Security. The talks focused on coordinating the fight against terrorist groups that Togo and Burkina Faso have been facing for several months.

During the discussions, the two parties decided to team up to neutralize the terrorists that attack them.

Last year, on May 10-11 after terrorists killed many in Kpekpakandji, in the prefecture of Kpendjal, the Togolese army intensified its response. In this framework, the Togolese government decreed a state of emergency in the Savannah region in June 2022 and it was recently extended for 12 months.

Esaïe Edoh

Togo will officially launch the 9th Pan-African Congress on May 22 in Lomé. Robert Dussey, the minister of foreign affairs announced this today, April 13, after a meeting of the High Ministerial Committee on the Decade of African Roots and the Diaspora.

Now the date is known, Togolese authorities should soon begin preparations for the congress. The event was initially announced earlier this year, in Rabat, Morocco. At the time, minister Dussey had also revealed the event’s theme: "The Rebirth of Pan-Africanism and Africa's Place in global governance: mobilizing resources and reinventing itself to take action."

"The African Roots Decade" (2021-2031), a Togolese initiative, has been validated by the African Union. Its goal is to make the African diaspora the leading actor in the development of the continent. It currently has 15 member countries.

Ayi Renaud Dossavi

Togo participated last week in the fifth session meeting of the International Cashew Advisory Council (ICAC), which was held from April 5 to 6, 2023 in Abidjan, Côte d’Ivoire. According to the Togolese Ministry of Trade, which reported the information, the meeting gathered the ministers of agriculture, industry, and trade of the ICAC member countries.

In parallel, the country also took part in the fourth edition of the International Exhibition of Cashew Processing Equipment and Technology (SIETTA), which took place from 6 to 8 April 2023. It was attended by several actors from the cashew sector who discussed innovations in equipment and processing technologies.

The Togolese delegation sent to Abidjan included the chiefs of the cabinet of the ministers of trade and agriculture, the national focal points at the ICAC, and some members of the cashew interprofessional management board. 

With the ICAC’s experts, they assessed the activity report of the ICAC Executive Secretariat; reviewed and adopted the Council’s 2023-2027 Strategic Plan and its budget for 2023. They also formulated and drafted solutions and recommendations, and issued a final communiqué.

Established in 2016, the ICAC represents 84% of African cashew production and 57% of global production. It was launched by eight African countries (including Togo). Together, these countries contribute 60%-80% of global production or 1.3 million tons of cashew nuts. The ICAC aims to better control market prices by bringing together the main producers.

Ayi Renaud Dossavi

Togo raised CFA113 billion on the WAEMU market in Q1 2023. This is 29% less than it did over the same period last year, CFA160 billion. 

In detail, over the past three months, Lomé secured CFA50 billion and CFA63 billion, through fungible treasury bills (BATs in French) and fungible treasury bonds (OATs), respectively.

In Q1 2022, the treasury secured respectively CFA28 billion and CFA132 billion via BATs and OATs on the regional money market. 

The decline recorded could be due to the low mobilization of investors around Togo's tenders. So far this year, Lomé has underperformed on the WAEMU market three times. 

And since investors’ commitment has not been pronounced enough, the Togolese government called on financial actors active in the country to subscribe more to its issues on the WAEMU market. The call was made on March 21, 2023, at the first meeting of the National Credit Council (CNC).

Togo plans to raise CFA574 billion on the WAEMU market in 2023. The money will finance its annual budget, which stands at CFA1,957 billion,  in revenues and expenditures.

Esaïe Edoh