World Bank Backs Togo’s Government Roadmap and Food Security with Two New Financings, Totaling $170M

Economic governance

Wednesday, 27 September 2023 18:36

World Bank Backs Togo’s Government Roadmap and Food Security with Two New Financings, Totaling $170M

(Togo First) - Togo just received new support from the World Bank, through the International Development Association (IDA). The country sealed the deal–a double financing agreement–on September 26, in Lomé. The first financing supports a program fostering sustainable and inclusive development policies, and the second is an additional financing for the West African Food System Resilience Program (FSRP).

Both agreements were inked by Sani Yaya, Togo’s Minister of Economy and Finance, and Fily Sissoko, the World Bank’s Resident Representative. They are worth $150 million (CFA92 billion) and $20 million (CFA12 billion), respectively.

Supporting the Government's Roadmap and Accompanying Key Programs

Approved on September 1, 2023, the first facility supports the government's five-year roadmap for more sustainable and inclusive development, while providing adequate financing for key programs. The package will specifically help stimulate the rural economy, modernize agriculture, improve human capital, and rebuild budgetary space.

"The reform program is strong, and the government has shown strong commitment to its implementation, which is reflected in the increase in this financing representing over 35% of the IDA allocation," said Fily Sissoko. He added that the Bank is currently preparing another financing focusing on an "ambitious reform program." This facility "should be finalized in the next 12 months," according to Sissoko.

Intensifying Government's Response to Food and Nutritional Security Issues

The second facility, of $20 million, is an additional financing for the Food System Resilience Program in West Africa (FSRP) launched two years ago by the World Bank. According to Minister Sani Yaya, the funds will help Lomé enhance short-term food supply and better tackle issues like climate change.

Also, the financing will help bolster Togo’s information system, provide households with improved livestock breeds, enhance animal health, and the use of organic inputs, and support vegetable chains and high nutritional value products, among others.

"These two facilities reflect the excellent relations between Togo and the World Bank," said the Minister of Economy. He then reiterated the government’s commitment to "continue its reforms, despite the triple shock of health, inflation, and security" the country currently faces.

REFORMS OVERVIEW

STARTING A BUSINESS (more info)

At the fifteenth position, worldwide, and first in Africa, under the Starting a Business index of the 2020 Doing Business ranking, Togo sustains its reformative dynamics with more reforms….

ENFORCING CONTRACTS (more info)

Compared to some years ago when it was one of the lowest rankers under the Doing Business’ Enforcing Contracts indicator, Togo, leveraging many efforts to improve its business climate, was able to jump significantly on the index in the recent years... .

CONTRACT EXECUTION (more info)

Creation of special chambers of commerce for small debts • Creation of chambers of commerce at the Court of Appeal • Civil and commercial cases now handled by distinct clerks • Establishment of commercial courts in Lomé and Kara • Lawyers and bailiffs now have access to the FORSETI COMMERCIAL platform • A maximum period of 100 days was fixed to settle a commercial dispute .

TRADING ACROSS BORDERS (more info)

In comparison to previous years,Togo has significantly improved its ranking under the“Trading across borders” indicator by adopting multiple reforms that focus mainly on the digitization and reduction in delays, for import and export procedures related to import and export.

In comparison to previous years, Togo has significantly improved its ranking on the “Trading across borders” index by adopting multiple reforms that focus mainly on the digitalization and reduction in delays, for import and export procedures related to import and export.

CONSTRUCTION PERMIT (more info)

After moving from the 133rd to 127th place under the 2020 Doing Business’ construction permit index, Togo intends to reiterate this feat in the coming edition of the global ranking. To this end, it has introduced this year multiple reforms.

GETTING ELECTRICITY (more info)

Over the past two years, Togo’s ranking under the Doing Business’ Getting electricity and water indicator has increased consistently. Owing this performance to multiple reforms aimed at making it easier for businesses to access power and water, Lomé plans to introduce even more reforms this year to keep up its improvements.

REGISTERING A PROPERTY (more info)

Out of all the 'Doing Business’ indicators, Property Registration is where Togo has improved the most since 2018. Indeed, after spending years in the lowest part of this ranking, the country now seeks to beat Rwanda which is the best performer on this index in Africa. To do so, Lomé has been introducing many reforms, with the latest batch implemented this year.

PUBLIC PROCUREMENT (more info)

From professionalization to digitization, through legislative regulations, Togo’s public procurement framework is constantly being modernized. Several reforms have been implemented to improve the sector much to the benefit of the private sector, which is the focus of the National Development Plan.

PAYING TAXES AND DUTIES (more info)

To improve its business environment, Togo introduced some important reforms related to the payment of tax and duties. From the replacement of some taxes to the cancellation of others through exemptions, the country has only one objective: offer the most attractive tax framework to investors and economic operators. To achieve this, the authorities relied on digitization.