The African Development Bank (AfDB) announced last Tuesday that it will maintain the two pillars of its 2016-2020 country strategy paper for Togo. This decision was spurred by the many structural governance reforms initiated by the Togolese government and the weak operationalization rate of these reforms, due to the political crisis. 

Midway down its five-year intervention plan in Togo, the financial institution is satisfied by its portfolio’s performance but urges local authorities to increase their efforts, to improve disbursement rate which stood at 55.3% over the period reviewed.

By 2020, AfDB plans to invest about CFA80 billion in activities related to the two pillars of Togo’s country strategy paper.

In detail, for the first pillar which is related to the development of inclusive growth and agroindustrial competitive poles, the bank could approve CFA60 billion of financing starting next year.

The second pillar related to the support of financial, sectoral and local governance, for its part, could benefit from about CFA20 billion. 

Beside these, the institution will mostly support economic and sectoral evaluations (debt, local tax, private sector, public investment) and provide counseling.  

Fiacre E. Kakpo

Last Tuesday, the ministers of foreign Affairs of Togo and Gabon, Robert Dussey and Regis Immongault, signed in New York an agreement to suppress Visa requirements for holders of diplomatic and service passports from both countries.

The agreement was initialed on the sidelines of the 73rd session of the UN general Assembly started September 18.

For Togo, this new arrangement adds to others it already had with Qatar, Morocco and the Central African Republic.

Since the beginning of 2018, Togo’s diplomacy has been engaging other countries’ diplomacy actively.

Beside the agreement to reciprocally suppress their Visas, Lomé and Libreville also announced the signing of an agreement to fight child trafficking.

In 2017, the insurance sector fared well in Togo, according to Claude Daté Gbikpi, chairman of Togo’s Insurers Committee (CAT).

The executive who was expressing himself during celebration of the second edition of CAT days indicated that turnovers of firms operating in the Fire, Accidents, Risks, General and Transport insurances or Non-Life, reached CFA34 billion, against CFA29.7 billion in 2016, thus up 15%.

Same goes for firms operating in the Life sector. Their activity recorded a 6% growth generating CFA27 billion, at the end of 2017.

However, CFA27 billion was paid by insurers in 2017 to cover disasters, Gbikpi added.

Octave A. Bruce

Until September 29, 2018, the European Union will be celebrating the climate diplomacy week. On September 24, the EU delegation in Togo launched the event in Lomé.

Hanses Bruno, Minister-Counsellor of the European Union, Christoph Sanders, German ambassador, and Marc Vizy, French ambassador to Togo, were present at the launching ceremony. From their statements, it appears that the initiative’s vision is to fight climate change.

Marc Vizy lauded efforts made in this regard. These efforts translated into the adoption of a law to promote clean energy which shows that though it is a small polluter, Togo is very conscious of the huge responsibility – shared yet differentiated, as the dedicated formula prescribes – and has decided to tackle the major challenges related to climate change.

Similarly, the national electrification strategy, in which renewable energies hold a prominent place and Togo’s admission to the International Solar Alliance, earned the head of state, an invitation from Emmanuel Macron, the French president, to “One Planet Summit”.

In the European Union, however, though the goal is a 40% decrease by 2030, leading to an automatic integration of the climate change aspect within every project, it is to be noted that some factors, political and economic notably, do not always facilitate the implementation or adoption of some measures in line with that goal, the German ambassador explains.

An OSC-Climate press conference held on September 25 has been held in the framework of the European climate diplomacy week. A radio show with prizes to be given away on Lomé and Kara radio stations, as well as a conference on climate change in Togo, will be organized on September 26-27. To conclude, an ECO Jogging section is planned.

Yesterday, a delegation of the European Union (EU) in Togo signed in Lomé, conventions with organizations and associations engaged in the fight against global warming. Overall, the institution disbursed €5.5 million for first and second axis of the Support Program to Fight Climate Change (PALCC) which is to be managed by non-governmental organizations (NGos) and civil society organizations (CSOs).

Goals: Keep sensitizing political decision-makers about climate change, assess the state of forest resources in the country, and implement measures to mitigate climate change’s impacts.

NGos and CSOs which will benefit from the facility will have to focus on the sustainable management of forest and lands as well as on power efficiency. In this framework, they must achieve 2/3 of goals set under PALCC. These include tackling issues such as the reduction of forest area, carbonisation, coastal erosion, bush fires, etc.

The program is carried out by the ministry of environment and forest resources. André Johnson, who is in charge of this project chaired the ceremony where agreements for the subsidies were signed.

On the other side, Christina Martins-Barreira, head of EU delegation in Togo, urged NGos and civil society organizations to take action regarding the program. 

The signing ceremony it should be noted took place ahead of the launch of European week for climate diplomacy.

Séna Akoda

At the beginning of August 2018, Togo’s government adopted a new national development plan (2018-2022 PND). Starting September 1, Togolese authorities were in China to showcase the new plan. Hence, led by Togo’s president, Faure Gnassingbé, the delegation left Beijing for Hangzhou where the first China-Togo Business Forum was held Sept 7. Following the event, Togo First met with Sandra Johnson, National Coordinator of Business Climate Cell (CCA) to discuss its outcomes.

Togo First: Togo recently adopted a new development plan spanning the 2018-2022 period. What does this plan have to offer Togolese?  

Sandra Ablamba Johnson (SAJ): The recently adopted national development plan is based on a paradigm shift which involves having a clear and precise vision of our objective, while focusing on rapidly implementing key projects. This plan focuses on three main axes. The first concerns the development of a major logistics hub. The second on agricultural, manufacturing and industrial transformation while the third focuses mainly on achieving social development via social inclusion, that means engaging in areas such as health, education, training, etc.

Togo First: We just ended the first China-Togo Business Forum ever. What happened during this event?

SAJ : The Business Forum was very rich. First, there was the President’s intervention which is proof of true leadership. There was also another intervention, of the vice-governor of this province (Ed’s note: Zhiejang), which is one of China’s leading provinces in terms of contribution to the country’s GDP or per capita income. The vice-governor urged Chinese private investors to invest in Togo, a beautiful and attractive country. He emphasized most importantly on the shared vision Togo and China have.

This business forum gathered many Chinese and Togolese investors since what matters to us is not only attracting foreign investors but also allowing our private sector to boost its capacities and enter strategic partnerships. That is why our President wished for the private sector to be part of the trip, in order to build new partnerships.

Thus, there were many interventions of both private and public Togolese sectors and actors of the first were able to discuss with Chinese private investors. This enabled the Chinese to learn more about Togo, and find potential Togolese partners. 

Togo First: During this forum, Togo presented five major projects falling under the PND. What are those about?

SAJ : Indeed, Togo presented some of its key projects. For example, in line with its objective to become a regional logistics hub, the country presented Chinese investors the project related to the construction of the National Road 1. As you are well aware of, this is a very important infrastructure since Togo is a gateway to hinterland countries. Behind the move was a need to quickly secure financings, via a public-private partnership maybe, to complete the road’s construction. Moreover, we intend to build a multimodal park with car parking lots. With traffic increasing considerably, it has become imperative to have car parks with multiple functionalities in order to enable foreign carriers passing through Togo to easily conduct their activities.

In addition, a multimodal mall with various sport centers, restaurants, high-standing hotels is to be built. This is to provide businessmen visiting Togo a facility with all they need to easily conduct their business as well.

Beside this business center, we will also have an industrial park, just like in Ethiopia, which will help create many jobs and different structures in the manufacturing sector. In the long term, this park should be replicated in all five economic regions of Togo.

China is a strategic partner and one of the best in that regard. It has built such infrastructures in other countries. What we want to do is see how to build a partnership with the Middle Empire and draw Chinese firms that are interested in investing in Africa to choose Togo for all the assets it has. To delocalize in our country and also export to other nations of the region.

Togo First : Did any Chinese investor show interest in one of these projects ? 

SAJ : Yes, we had some talks. I was in charge of the project for a business and financial center of excellence. I met with some partners who are quite interested. We will continue talks to determine which types of partnerships can be built with them and how to connect them with Togo’s private sector.

Another thing is that there are already Chinese investors operating in Togo who are interested in investing in other sectors. Regarding the industrial park for example, some Chinese already in Zanguéra are looking to invest in the Akodessewa park. There is also the China-Africa Development Fund, CADFund, which said it will support us, providing us resources. You certainly know that the CADFund was one of the main financing partners that contributed to the construction of the LCT (Ed note: Lomé Container Terminal).

There is also Afreximbank (Ed note: African Import-Export Bank whose president was also in Hangzhou for the business forum) which is ready to support Togo.

Financially, Chinese banks and institutions are ready to finance and back Chinese investors who are interested in investing in Togo. 

Togo First : The private sector is the PND’s driver. How do you plan to federate both foreign and local private investments to implement this program without having any of the parties frustrated? 

SAJ : I don’t think anyone will be frustrated since I am happy to see that today many actors from Togo’s private sector are already working with foreign investors. We noticed they were many. This new paradigm will undoubtedly bring them a new opportunity since they will benefit, now more than ever, from the State’s support.

Various mechanisms will be put in place to facilitate these projects’ implementation. And for Togolese business operators who wanted to conduct business but could not easily build partnerships abroad, it will now be easier to do so, in China.

Togo First: Did any Togolese investor take contact?

SAJ: We will ask them. Last time, China’s president said it during the forum (Ed note: FOCAC) that it will be a win-win partnership, a respectful partnership. By a win-win and respectful partnership, I mean that the same way Chinese will be able to invest in Togo, Togolese will also, if they can, be able to invest in China. 

Togo First: As Head of Togo’s Business Climate Cell, what measures do you intend to put in place in the coming days to further improve the country’s business environment?

SAJ: We will continue what we have already started. Presently, in line with our plan of actions, we are working on establishing an agency to promote investments in the franc zone. This institution aims to ease access to State facilities and departments in charge of project development.

We wish to accelerate the process of this agency’s creation. Togo has one the most attractive investment codes of the region and concerning its implementation, we are putting in place various mechanisms.

The ministry of finance just got the State’s approval to handle the “accreditation” part. So, we think this issue is already taken care of.

Our labor code is also quite performant but we suggested some recommendations to make it even more attractive.

When we talk about investing, the tax framework is very important. Through the OTR, the ministry of finance just produced a new tax code, which almost halves taxes. We are actually doing everything for our parliament to adopt this code in the days coming.

There is also a new customs code and a new land code, more suited to the actual economic reality. A new renewable energy code also.

These are all measures planned to gain Chinese and other foreign investor’s trust and reassure our economic operators also. 

Interview by Fiacre E. Kakpo

Togo’s gross grain output for the 2017/18 season exceeded 1.3 million metric tons, according to data from the Inter-States committee for the fight against drought in Sahel.

This is 2.7% more than the output recorded in 2016/17 which was 1.27 million tons.

The slight increase is mainly attributable to good weather conditions last year, in the sub-region, paired with the government’s efforts. Indeed, various agricultural projects, such as the PNIASA which replaced PNIASAN at the end of 2017, helped Togo secure regular grain surpluses since their launch.

According to the minister of agriculture, Ouro-Koura Agadazi, the country recorded a 21% surplus for the 2017-2018 season mainly as a result of greater sorghum, millet and tuber outputs. 

Regionally, grain output reached around 28.7 million tons, up 2.8% compared to the previous season. Mali, Niger and Burkina Faso were the best producers with respective outputs of 9.5 million tons, 5.8 million tons and 4 million tons.

Despite output growth across WAEMU this year, it was still lower than in 2016 when it stood at 6.6%.

Fiacre E. Kakpo