Henceforth, the registration of Limited Liability Companies (LLCs) in Togo will be exclusively done online. Until the related announcement was made by the minister of Trade, Kodjo Adedze, this process was undertaken both virtually and physically. 

“The ministry of trade, industry, and local consumption informs economic operators that from now on they must complete formalities relative to the creation of Limited Liability Companies (LLCs) solely online, via the Center for Business Formalities (CFE) official website (www.cfetogo.tg),” Adedze wrote in a statement addressed to businesspeople. 

The move, according to the minister, directly aligns with the government’s efforts to improve the local business environment, alongside those aimed at digitizing the public administration. 

Under their 2020-2025 roadmap, Togolese authorities want to make the country a digital revolution hub. 

Togo, it should also be noted, owes the various reforms it introduced in recent years the position of best reformer of the ECOWAS and the sixth in Africa, according to the 2020 Barometer of the Council of French Investors in Africa (CIAN) released on March 18, 2021. 

Séna Akoda

In Q1 2021, 4,087 new businesses were registered, against a little more than 3,600 businesses over the same period last year. The 11% increase reflects an ongoing economic recovery amidst the Covid-19 pandemic. 

In detail, out of the newly registered businesses in the past quarter, 3,280 or 80% of the total were registered by Togolese and the rest (807 businesses) were registered by foreigners. On a gender basis, 27% of the figure reported in Q1 2021, or 1,104 businesses, were registered by women. This is a great performance considering it equals the number of businesses registered by businesswomen throughout 2020. 

Significant performances but a hardly measurable impact  

While there are improvements regarding the number of newly registered businesses in the country, the impact - in terms of job and wealth creation - that these businesses had on the economy in the past five years is hardly measurable. However, according to a recent study by the Centre de Formalités des Entreprises (CFE, Center for Business Formalities) the ratio of businesses that are effectively operational stands at 52.5%. 

Moreover, still comparing Q1 2021 and Q1 2020, the number of businesses registered as legal entities was up by 3%, compared to businesses registered by natural persons. Nevertheless, the latter make up 60% of all businesses registered in the quarter under review (Q1 2021). Regarding LLCs, 1,425 of them were registered between January and March this year. Out of these, 91% were registered under private seal. 

Klétus Situ

The Togolese Revenue Authority (OTR) launched a major project to interconnect with many institutions. In this framework, the institution launched a tender, that expires on May 7, 2021, to recruit firms that will supply, install and operationalize the connection equipment.

The institutions concerned are the National Social Security Fund (CNSS), the General Office for National Documentation (DGDN), the Directorate of Road and Railway Transports (DTRF), the National Directorate for Public Procurement Control (DNCMP), the Compagnie Energie Electrique du Togo (CEET), and the Registry of the Court of Lome. 

The project, in effect, aims at boosting tax and customs income. It will be financed by the African Development Fund (ADF) in line with the Transition Support Facility (FAT) that falls under the Tax Governance Support Program (PAGFI).   

Séna Akoda

As announced nine months ago, Turkey has officially opened its embassy in Lomé. Recep Tayyip Erdoğan appointed Esra Demir as his first ambassador in Togo. 

The news was confirmed by Robert Dussey, the Togolese minister of foreign affairs.  "I have received a copy of the credentials of Mrs. Esra Demir, the first Ambassador of Turkey to Togo,” Dussey reported. 

Turkey thus concretizes its ambition to make Togo its top partner in the subregion. This is in a context where Erdogan’s nation is strengthening cooperation with the West African country. 

Indeed, in July 2020, the two countries signed three cooperation agreements during a visit of the Turkish minister of affairs, Mevlüt Çavuşoğlu. These agreements were a memorandum of understanding to set up a mechanism for political consultations, a visa exemption deal for diplomatic passport holders, and another memorandum of understanding on cooperation between the Togolese ministry of foreign affairs and the diplomatic academy of Turkey. 

Turkey also announced it planned to increase its investments in Togo and seal new partnerships with Lomé, in the mining, textile industry, infrastructure, and energy, in line with the National Development Plan (PND 2018-2022). 

Séna Akoda

The Togolese President Faure Gnassingbe is expected to meet this Wednesday his counterpart from France, Emmanuel Macron. 

This is the first official visit of the Togolese leader since he was reelected for a new term. According to the Togolese presidency, this visit falls under the “strengthening of cooperation ties, partnership and friendship  between France and Togo.”

During their meeting, many common interest topics will be covered by the two leaders. These should include the security situation in the Sahel region, transition in Mali (a situation in which Togo is much involved), threats from terrorist groups in the northern part of Togo, and bilateral relations between France and Togo. 

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Sunu Bank has recorded its first benefit in two years. This is the third time that the lender, formerly Banque Populaire pour l’Epargne et le Crédit (BPEC), is in the green. In 2013, it recorded a profit of CFA5 million, and in 2017 it had an exceptional positive net result of over CFA3 billion. 

Since 2012, Sunu Bank (the bank’s name changed after it was acquired by SUNU Investment Holding) has suffered billions in losses, despite negative net results having significantly fallen over the period.

Data available shows a clear difference when comparing the year 2020 to the years 2018 and 2019 where the bank reported negative net results of 197 million CFA and 247 million CFA, respectively. 

Assets increase substantially 

At the same time, the lender’s assets grew from CFA97 billion to 132 billion CFA (+36%) while its equity was reduced by about CFA11 billion. The latter results from the new owner’s efforts in turning around the situation. In effect, Sunu Bank initially reduced its capital of CFA20.8 billion by halving its shares’ nominal value, from CFA10,000 to CFA4,500. It later proceeded to public fundraising arranged by the Société de Gestion et d’Intermédiation (SGI-Togo) to mobilize CFA1.8 billion. The operation involved the issue of 400,000 new shares of CFA4,500 per unit. 

“SUNU Bank continues its transformation phase with an encouraging result for our shareholders and customers. In this particular global context, it is a pride for the SUNU group to see its first bank return to profit,” Myriam Adotevi, Managing Director of Sunu Bank, told Togo First. “We are keeping our prospects and ambitions in sight to continue to offer innovative and quality products and services to customers,” she added.

On April 16, 2021, the bank’s shareholders will approve the past year’s accounts, with no dividends to be shared. SUNU Bank, it should be noted, initiated its transformation process by focusing on digitization.

Séna Akoda

For the second time, consecutively, Togo will have a “consume local month.” The announcement was made on the Twitter account of the Ministry of trade, industry, and local consumption. 

The event is scheduled for October, the month decreed by member states of the West African Economic and Monetary Union (WAEMU) as the “consume local month.” 

On this occasion, many activities will enable concerned actors to work together, valorize and promote the consumption of local goods and services, by the Togolese population. 

In the same framework, a measure introduced by Prime Minister Victoire Tomegah-Dogbe urges ministries and State companies to prioritize the consumption of local goods. 

Also, the Organization for Food and Local Development (OADEL) explained that “Supporting public orders for local food products is a commitment to sustainable socio-economic development in Togo.”

Séna Akoda

“As part of his many efforts to fight and eradicate the pandemic, the Head of State, after health personnel, has ordered the vaccination, with no age differentiation, of all staff members of hotels in Grand Lomé.” This was announced last Friday by Kossi Lamadokou, the Togolese minister of tourism and culture. 

Any hotel worker who refuses to be vaccinated will be sent on a technical leave until the pandemic ends, the minister warned in a written address to the heads of the country’s hotels. 

The move was motivated by an urgent need to slow the spread of the virus. Hotels, it should be noted, are significant vectors of this spread, given their activities. 

Daniel Agbenonwossi (Intern)