Togo: Inflation rises again

Economic governance

Wednesday, 19 April 2023 15:52

(Togo First) - Togo recorded an inflation rate of 7.1% in March 2023, up by 0.7% compared to the previous month (during which it fell). According to the National Institute of Statistics, and Economic and Demographic Studies (INSEED), which released the figure, the increase was driven, mainly, by food prices (which rose by 1.3%), and services such as restaurants and hotels (+0.8%). The costs of housing, water, gas, electricity, and other fuels also rose (+0.7% overall); just like clothing and footwear (+0.3%).

Under the food basket, citrus, other fresh fruits, tubers, and plantains recorded the highest price increase (+16.9%, 12.2%, and +8.8%, respectively). Right behind were fish and other dried or smoked products (+5.8%), and raw cereals (+1.5%).

Last month, the prices of some products fell. These include alcoholic drinks, tobacco, and narcotics, as well as miscellaneous goods and services.

entreprises crees

Excluding food costs and fresh produce, core inflation rose by 0.3%. However, the monthly change in the index excluding energy and fresh products recorded a slight decrease of 0.1%.

It is worth noting that prices of local products rose by 0.7%, slightly more than imported products, whose prices were up by "only" 0.4%.

Concerning general price levels, between March 2022 and March 2023, they grew by 6.3%, according to the INSEED. While attributing the increase to a rise in the costs of consumer products (excluding communication), the source said it reflects global economic pressures–supply issues and generalized inflation.

Government anticipates reduction

Lomé expects its inflation to fall to 6.8% this year, from 7.6% in 2022. The government’s expectation is based on the country’s anticipated economic growth rate, to 6.6%, after standing at 5.8% and 6% in 2022 and 2021, respectively.

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 .

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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)

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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.

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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)

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