Cofina secures CFA40 billion to expand in Africa

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Friday, 27 May 2022 13:39

Cofina secures CFA40 billion to expand in Africa

(Togo First) - COFINA, a West African meso-finance company, has just secured nearly CFA40 billion from Development Partners International (DPI), a London-based investment firm focused on Africa.

According to the related statement relayed by Ecofin Agency earlier this week, DPI made the payment in exchange for a minority stake in COFINA. The firm said it would use the funds to boost its activities in West and Central Africa.

Among others, it will launch “new and differentiated products and services to reach a greater number of customers."

COFINA, let’s note, is already present in Togo, Senegal, Côte d’Ivoire, Guinea, Gabon, Mali, Congo, and Burkina Faso.

"Despite issues caused by the pandemic, the Cofina Group has proven its resilience and most importantly the relevance of its business model adapted to African ecosystems. Building on this success, we now have DPI, a particularly experienced and trusted investor, at our side. As Cofina Group opens this new chapter, this transaction will allow us to strengthen our equity to consolidate our positioning and accelerate our digital transformation," commented Jean-Luc Konan, Founder, and CEO of Groupe COFINA.

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"There is significant demand in the SME market for Cofina Group’s products and services which help entrepreneurs grow their businesses while promoting financial inclusion and creating a positive impact on African economies. We are delighted to join Groupe Cofina as investors and look forward to working with Jean-Luc and his team to keep materializing his vision," said Babacar KA, Partner at DPI.

For the deal, DPI was advised by ASAFO & Co, a law firm co-founded by Pascal Agboyibor of Togo, and KPMG. Meanwhile, Cofina was advised by ADNA.

In Togo, Cofina is well-positioned when it comes to SME support. It provides intermediate solutions between microfinance and traditional banking. The fast-growing group has, among other things, concluded agreements with public and private support companies to support financial inclusion and entrepreneurship projects, such as in agribusiness.

Ayi Renaud Dossavi

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.