Togo First
Togo: Tandjouaré cotton growers expect 5,000 tons during the 2018/19 campaign
Yesterday June 21, 2018, Tandjouraré’s cotton growers groups reviewed the results of the last cotton campaign and reflected on the perspectives of the new campaign. This was in the framework of the ordinary general assembly of the secretaries and delegates of the cotton growers groups of Tandjouraré, in Savanes, held the same day.
During the meeting, it was revealed that in the community, the last cotton campaign was affected by climate hazards. Indeed, because of irregular rainfalls, in August and September particularly, cotton production dropped to less than 3,390 tons produced on 5,188 hectares of sown lands. This is an average of 653 kg per ha which is below the volume of 971/ha harvested in 2016.
As for the current campaign, the Cotton growers’ union expects 5,000 tons with a minimum of 800 kg/ha. Let’s note that this estimate is in line with government’s expectation of 140,000 tons at the national level with an estimate of 1,000 kg per hectares.
Let’s remind that according to the Togolese government, by 2022, the country's production will reach 200,000 tons of cottonseed. In that regard, Tanjouraré invites the cotton growers to unite, get to work and respect the production standards so as to meet the goals set by Nouvelle Société Cotonnière du Togo (NSCT) and the government.
Fiacre E. Kakpo
Togo tests its airport’s security and safety
At a more or less regular interval, Togo evaluates the security of its airport platform. In that regard, simulation attacks were launched at the airport on June 20, 2018, to test the security and defense forces’ efficiency and response capacity when confronted with terrorist attacks or threats.
The first test was to remove an explosive device that was said to be set in the hall and bring back peace. According to Lieutenant-Colonel Langbatibe Bolidja, it all started with an anonymous call which reported the device.
During the second exercise, Gnassingbé Eyadéma International Airport (l’Autorité de Sûreté de l’Aéroport International Gnassingbé Eyadéma- ASAIGE) showed its skill and knowledge of the different terrorist attacks. The different security forces mobilized for this exercise were able to secure the airport and disrupt the assailants.
In view of the strength and weaknesses identified during the operations as well as the constant improvement policy, Gen. Yark Damehane, the minister of interior and civil protection, estimates that Togo would be able to neutralize any terrorist threat.
Let’s remind however that everybody should stay alert because there is no absolute guarantee as far as safety and security are concerned.
Séna Akoda
Togo boosts the implementation of the information exchanges in the framework of BIC
Yesterday, June 20, 2018, a workshop to sensitize and reinforce the capacity of the institutions which collect customers’ data in the framework of the credit bureau BIC was organized in the new presidential palace.
Organized by the cellule Climat des affaires (CCA) in collaboration with Créditinfo Volo, the group in charge of the operational phase of BIC in Togo, the high-level meeting was attended by heads of public utility companies such as water and electricity companies as well as financial institutions.
It was presided by Badanam Patoki, the general secretary of the presidency and Sandra Johnson, coordinator of the CCA, who was representing the ministry of finance Sani Yaya.
The context
The participants were briefed on the new provisions of the uniform act n°2016-05, adopted by Togo on March 14, 2016, regulating the BIC in the West African Economic and Monetary Union (WAEMU).
Let’s note that BIC is an institution of the BCEAO which collects data and credit profiles from public utility companies and financial institutions to establish a comprehensive solvency report on clients. This report will then be used as objective criteria for credit decisions.
Such reports will help improve financial institutions’ loan portfolio by reducing the volume of defaulted loans and improve the credit costs. It will also help improve the utility companies’ financial health and establish a climate of trust in the economy.
Even though the creation of such institution is a pragmatic answer to the challenge credit access presents in the WAEMU, and in Togo in particular, data collection is lagging.
Indeed, since it was adopted, only 11 out of the 13 banks and 3 out of the 6 decentralized financial institutions chosen for this programme really provide their data.
According to BIC, by April 11, 2018, Togo effectively provided the data of 1% of the loans and borrowers declared to the programme (54,073 loans out of a total of 4,237,800 and 19,417 borrowers out of a total of 2,011,019). In comparison, only Benin and Guinea-Bissau did worse.
Compared to the programme’s expectations which is to introduce at least 5% of the adult population in its database by the end of 2018, this performance is rather low. It also wants to improve the credit access indicator for which Togo is ranked 142nd out of 181 countries; far from the Doing Business standard.
Measures to accelerate the process
To accelerate the programme, the government decided to modify the law governing the BIC during the ministers' council on May 08, 2018. This modification was to allow financial institutions to share the data they had before the BIC was adopted by Togo. In addition, because of the urgency to integrate utility companies to the database, the country issued a decree authorizing CEET, TdE, Moov and TogoCom (which to some extent provide short and middle term credit to their clients) to prepare their credit-related data for their integration to BIC’s database.
In that regard, the different participants were able to acquaint themselves with the uniform act and the decree for a better participation in the information exchange platform (presented during the workshop) thanks to the workshop organized yesterday in collaboration with CreditInfo Volo.
For Sandra Johnson, “this workshop was organized at the turning point of the structural transformation process supported by the new national development plan (Plan national de développement-PND) in Togo”, which is greatly concentrated on the private sector.
She then asked the participants to commit to the improvement of the business environment on whose results credit access depend. “ In these times when the government has decided to grant an important place to the private sector, I invite you to be the pioneers of this reform which will be reviewed weekly according to the instructions received and for which we are asked to make it a successful initiative”, she added.
Fiacre E. Kakpo
Togo to launch MIFA funding scheme for agricultural sector, next June 25
Togo’s president Faure Gnassingbé will launch next June 25, the Agricultural Financing Incentive Mechanism (MIFA, formerly called TIRSAL). According to Aristide Agbossoumonde (photo), head of the MIFA Implementation Body, it is an agricultural funding booster based on a risk sharing mechanism. In this framework, a MIFA-centered fair will be organized June 23 to 25 in the Show and Fair Center (CETEF-Togo 2000). It is expected to ease B2B meetings with a view to seeking financing for agricultural project developers. In Togo, “MIFA aims to transform the agricultural sector’s financing. In 2017, only 0.2% of bank loans went to agriculture. The target is to reach 5% within three years”. Let’s note that this mechanism concept was successful in Nigeria where it is called NIRSAL. The fair is set as a platform dedicated to Togolese agricultural operators including producers, processors, input suppliers, service providers. In this regard, the event initiators have provided, as an incentive, a bonus of 100 free stands to potential exhibitors.
Séna Akoda
Togolese telecoms operator TogoCom to set new tariffs
TogoCom will announce June 22, new rates on national and international calls, as well as internet package, the group said.
The move aims at better structuring offers and meeting customers’ needs for Voice and Data communication. It aligns with TogoCom’s ambition to become Togo’s leading internet services provider. This after “bad years marked by a drop in performance, particularly in internet offer, and a decline in market shares in the face of increasingly aggressive competitors”.
Let’s recall that TogoCom which is headed by Affoh Atcha-Dedji (photo), was born from a merger between the land-line Togo Telecom and mobile operator Togocellular.
Séna Akoda
France to support Togolese media sector with more than €740 mln this year
On June 19, 2018, Robert Dussey and Marc Vizy, respectively Togo’s minister of foreign affairs and France’s ambassador to Togo, signed an agreement under which the latter’s nation would finance the Training and Support Programme for Audiovisual and Media sector in Togo (PROFAMED).
In detail, the project will benefit from a financing of €493,000 from France over a two year period.
This new investment will add to the €250,000 which France already promised to invest in the project this year, according to the French embassy.
Put in place by the minister of communication and the French embassy, in partnership with the science institution of information, communication and arts (ISICA) of Lomé’s university, PROFAMED should significantly improve journalists’ skills, both private and public, through specific actions.
The PROFAMED divides into four major components. First is the legal and regulatory support of press professions; second is a continuous training for journalists with no prior training. Third is a module-based training programme for media professionals (audiovisual technicians, specialized journalists and employees holding supporting positions within press organs and media); and fourth is a battery of actions to valorize media’s reputation in Togo.
Séna Akoda
World Bank organizes open houses to present projects it finances in Togo to the public
World Bank launched June 19 its first open houses in Togo. The related opening ceremony was presided by Togo’s Prime Minister Selom Komi Klassou. Also present were the minister of planning and development, Kossi Assimaïdou, the minister of trade, Bernadette Legzim-Balouki, Joëlle Dehasse, World Bank’s representative in Togo, and Pierre Laporte who is the institution’s operations director in Togo. On the occasion, the minister of planning reviewed World Bank’s operations in Togo.
According to the minister on May 31, 2018, World Bank’s portfolio in Togo comprises 11 nation-wide projects, a budget support, and six regional projects, worth more than $367.4 million or about CFA200 billion. These projects cover the sectors of education, health, agriculture, energy, climate, grassroots development, social protection, youth employment, etc.
Content of its partnership with Togo, the World Bank will continue its support to Togo. Actually, a new program covering the 2017-2020 period enabled the start of new priority projects. Those mostly focus on improving private sector’s performance, creating decent and sustainable jobs for youth, supplying services of quality, inclusive, as well as boost resiliency to climate change.
Pierre Laporte used the opportunity to declare: “A new budget support program worth $40 million is being prepared and should be launched before the year ends”.
The open houses mark the end of a three year mission of World Bank’s representative in Togo.
Fiacre E. Kakpo
IMF positively assesses Togo’s macroeconomic indicators, betting on national development plan
Togo’s national development plan (PND) will stimulate the country’s economic activity, the International Monetary Fund (IMF) said in its second review of the West African nation’s economic performance.
The performance was deemed “good” by the institution and as a result, it provided Togo a $35.5 million financing. “Finalization of the national development plan and Togo’s adhesion to the Compact with Africa are laudable. The rapid implementation of structural reforms included in the two policies as well as reforms that align with the ECF-backed scheme will help Togo achieve a stronger and more inclusive growth,” IMF said.
In sight of its projections for the economy, and reforms implemented under the PND, IMF put Togo’s economic and financial indicators for the 2018-2023 in the green. The institution estimates that Togo’s GDP will grow by 5.4% average till 2023, excluding 2018 during which various sociopolitical protests were recorded. Regarding public debt, IMF said it should slump below 50% of GDP over the period considered.
Also, the establishment of MIFA, formerly TIRSAL (which is a fund to finance agriculture) and the upcoming development of two industrial parks will very likely contribute to the growth of Togo’s economy in the next five years, according to its government.
Fiacre E. Kakpo
Togo purchases latest generation detection system to make traffic in Guinean Gulf safer
Togo’s government and Thales Alenia Space announced on Monday June 18, the signing of an agreement for the provision of a latest generation land-station, the Meolut Next (MEdium Orbit Local User Terminal).
This station can detect and instantly locate any distress signal issued at sea or onshore. It will act as an interface for local and neighboring detection systems (firefighters, army, coast guards…).
According to Thales Alenia Space, the Meolut Next will allow Togo to better detect signals from an emergency beacon in an area with a radius of more than 3,000 km, thus covering all the Guinean gulf and a great part of the African continent itself.
The station will thus help improve security and services provision.
Commenting on the purchase, the minister of infrastructures and transports, Ninsao Gnofam, said: “The MEOLUT Next station of Thales Alenia Space will help the Togolese government, as it desires, to secure maritime traffic in the Guinean Gulf and establish a flawless security which is vital for the country’s economic growth and the whole region actually”.
Fiacre E. Kakpo
Togo: Global consumption price level slumped by 1% in May 2018
Last month, global consumption prices in Togo slumped by 1% as compared to a 1.9% positive growth the month before, according to data from the National Institute of Statistics, Economic and Demographic Studies (INSEED).
The slump is mainly due to a drop in prices of food products and non-alcoholic drinks, even if other consumption indicators increased. These indicators are “housing, water, gas, power and other fuels” (+0.7%), “tobacco and drugs” (+2.7%) and “health products” (+0.3%).
Compared to February, that is on a quarterly basis, price levels surged by 1.5% spurred by a 5.7% increase in prices of food products and non-alcoholic drinks. On a year-to-year basis, this figure however slumped by 0.3%.
Fiacre E. Kakpo