Togo First

Togo First

Togocom, a subsidiary of Axian Group, has activated its 5G network in Togo. It thus makes Togo the first country in West Africa, and the third in Africa, to test the technology commercially.

The achievement was lauded by the operator's managing director in Togo, Paulin Alazard, who observed that the country "rose up to the challenge of launching 5G in one year only, as it was planned in the roadmap."

''5G will facilitate innovative uses by enabling the emergence of new services that meet the needs of various sectors of the economy (energy, health, industry, transportation, etc.),'' said Cina Lawson, Minister of digital economy and digital transformation, while highlighting the State's goal to ''provide mobile coverage to all Togolese people.''

To deploy the technology, Axian teamed up with Nokia (which is one of the leading actors of 5G and a rival of Huawei in this segment). Let's recall that for 3G and 4G services, Togocom covers respectively 96% and 65% of the Togolese population, for more than 4.5 million subscribers.

Ayi Renaud Dossavi

Moov and Togocel will again readjust their call rates and cancel the recent increases criticized by the telecom regulator, ARCEP. 

In detail, both operators reduced their off-network tariffs by around 30%, following a recent warning by the regulator. The latter thus took note of the cessation of on-net, and off-net price differentiation practiced by the companies.

Now, there remains the sanction procedure initiated earlier this week by the ARCEP against Togocel, for failing to inform its users about the poor quality and malfunctioning of its T-Money (mobile money) service. 

Ayi Renaud Dossavi

CFAO Technology & Energy, a subsidiary of CFAO Group (Corporation For Africa & Overseas), wants to advance Togo’s energy transition in the construction sector. 

On Nov. 26, 2020, the international company presented its new range of eco-friendly elevators to architects and other actors of the Togolese construction industry. 

The elevator, named GeN2 Life Switch, can run on clean energy (solar notably). It is destined for homes and residential buildings. Conceived by OTIS, which is a partner of CFAO, the machine uses batteries and can work even during an outage (performing an average of 100 trips on such occasions). 

Equipped with a ReGen Drive recycling mechanism, it can consume 75% less power than a conventional elevator. 

We are in the era of ecologic transition and are thus called to use solar more than other forms of energy,” said Gilbert Fiagian, head of elevators at CFAO T.E. in Togo and Benin. 

So, if some equipment meets these needs, I believe it would be good for our current and future customers to look into them, to be more ecological.” Concerning Togo specifically, Fiagian added: “You are certainly aware that promoting renewable energies is a key component of the national development plan.” 

CFAO Technology & Energy, it should be recalled, is based in France and is active in the ICT, energy, and elevator sectors. For its part, CFAO Group - one of the most well established foreign companies in Africa - is controlled by Japanese giant Toyota Tsusho, since 2012. 

Ayi Renaud Dossavi

The West African Development Bank (BOAD) and KfW, the German development bank, are getting ready to launch a fund to promote digital transformation in West Africa. This was disclosed on the BOAD’s Twitter account. 

The fund will finance projects to digitize administrative procedures and foster the digital economy across the WAEMU. 

It should be recalled that the World Bank recently observed, in a report entitled Boosting Private Investment to Achieve Higher Growth and More Jobs, that digital transition is a key step towards a more resilient economy in Togo.

One of the major projects planned by the country to accelerate its digital transition is the e-administration project. Lomé plans to invest CFA25.5 billion in this project next year. Moreover, authorities are working to implement biometric identification to speed up the formalization of informal Togolese businesses and boost access to social services. 

Séna Akoda

Thursday, 26 November 2020 17:38

Ministries to adapt to program budgeting system

Togo’s various ministries will adopt the new program budgeting system adopted by the country. In this framework, they will all have a financial affairs division. 

The decision was announced following the council of ministers held on November 25, 2020. 

For the Togolese authorities, the adoption of the program budgeting system “requires a reorganization of the financial division of every ministry,” an official statement from the government reads. 

This change,“which will take place progressively, will enable the decentralization of the scheduling function” (which used to be solely held by the ministry of economy and finance), and expand ministries’ leeway so that they can better achieve their goals.

As part of measures to support the 2020-2021 academic year, the Togolese government will forego around CFA2 billion of registration fees for various exams. The news filtered from the council of ministers held on November 25, 2020. Overall, the education sector should benefit this year from over 3.5 billion worth of initiatives.

Another measure includes the mobilization of CFA1 million to supply face masks (at a subsidized cost) to multiple schools across the country. The masks will go for CFA50 only,  against CFA260 before. Through the move, the authorities intend to contain the spread of the coronavirus. 

Other projects launched this year for the education sector include School Assur which covers nearly two million pupils and the acquisition of tables and benches for CFA600 million. 

Séna Akoda

Next year, seven billion CFA will be devoted to a new government program of free care for pregnant women in Togo. The program aims at reducing maternal and neonatal mortality, in line with a commitment made by President Faure Essozimna Gnassingbé. 

This was disclosed in a statement issued by Mamissilé Akla Agba Assih, Minister delegate in charge of universal health care, during the council of ministers held on November 25. 

The initiative will be implemented mainly in peripheral health care units. Family planning, Prenatal consultation, delivery, and C-section are the four services that will be provided to its beneficiaries.

According to the council of ministers’ report, the program will start “within the shortest delays.” It will add to a measure subsidizing C-section cost by around 90% (the surgery cost CFA80,000 in 2011). 

Séna Akoda

Few days after cautioning Togocel for practicing unfair call rates, Togo’s telecom regulator -ARCEP- has opened a sanction procedure against the operator. This time, the regulator accused the operator of “grave inconveniences and malfunctions on its T-Money services, and a lack of communication with customers.” 

It is stated under the terms of Togocel’s agreement that “in the event of a disruption or interruption in the provision of services lasting more than two hours, the operator must inform its customers of the nature of the problem and the approximate time within which the service will be restored.”

On November 17, the regulatory body called out Togocel for failing to notify it and the network’s users about the disruption, as well for the poor service and measures which the operator intended to use to tackle the issue. However, the ARCEP was not convinced by Togo Cellulaire’s explanation and decided to open a sanction procedure. 

The regulator’s recent warnings, and now the sanction procedure, aim to “establish conditions for healthy and fair competition in the electronic communications and postal market while allowing the greatest possible number of people to access quality services at affordable prices.” 

Fiacre E. Kakpo

Wednesday, 25 November 2020 16:30

Olam acquires 51% of Togo's Cotton Company

Singapore-based agrofood group Olam acquired 51% of the Nouvelle Société Cotonnière du Togo (NSCT) for €15.3 million (around CFA10 billion). 

The deal aligns with the authorities’ plan to privatize the cotton company - a process that should be completed next month. Following the privatization, the State and the federation of cotton farmers will respectively hold 24% and 25% of the firm. 

The NSCT is in charge of all activities related to cotton in Togo, such as commitments to farmers, ginning, and sales. According to Olam, its finances are in good shape, with its working capital estimated at around €19.1 million. As the NSCT’s new majority shareholder, the Asian giant’s mission will consist of boosting Togo’s cotton output, processing it locally, and improving the yield and income of farmers. 

Regarding the cotton output in Togo, while it has exploded in recent years (+400%), driven by the NSCT, it still is far from the country’s target of 200,000t in 2022. During the past campaign, production even dwindled by 15%, from 137,000t in 2018-2019 to 116,000t in 2019-2020. 

Ayi Renaud Dossavi

Tuesday, 24 November 2020 16:22

Parliament reviews draft finance bill for 2021

The parliament is reviewing the draft finance bill for 2021. The latter projects expenditures and income at CFA 1,521.6 billion, thus 7.1% less than this year's final budget (CFA1,638 billion).

Next year's finance bill focuses on social sectors (with a 10.8% increase in social spending which is expected to reach 445.1 billion FCFA), despite the negative impact of the pandemic on the economy. Among others, the draft budget commitments fall under the government's roadmap (translated into the national policy declaration).

It is worth noting that this is the first time the parliament is examining a program-based budget. According to the  Minister of finance, Sani Yaya, who was present at the opening of the proceedings, the decision to adopt this type of budget establishes a results-based management style, with clear goals assigned to each ministerial department, as well as the deconcentration of the authorization function.

"The draft bill for the 2021 budget is dedicated to major innovations. It is the first bill adopted by the new government following the approval of its action program, and it inaugurates a new era in governance," welcomed Chantal Yawa Djigbodi Tsègan, President of the National Assembly.

Ayi Renaud Dossavi

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