Togo: World Bank forecasts 5.8% growth by 2025 in first economic outlook report for the country
Monday, 30 October 2023 11:50 
(Togo First) - The World Bank released the first edition of its economic outlook report for Togo last Wednesday, October 25. Entitled "Unlocking the country's growth potential", this 50-page document, which will henceforth be published annually, offers a detailed analysis of Togo's current economic situation and outlook.
The report was unveiled by Marc Stocker, Senior Economist and Amevi Rocard Kouwoayé, Economist at the World Bank. It highlights Togo’s solid strategy of trade openness and the implementation of targeted and ambitious structural reforms, which put the country on an upward growth trajectory.
The study forecasts that Togo should achieve economic growth estimated at 5.2% for the years 2023 and 2024, underpinned by consumer spending and private investment. The latter could increase by 10 percentage points by 2030. Looking further ahead, the report expects the country to record a growth of 5.8% in 2025, and reach around 7% in the longer term; provided that structural reforms are implemented.
"The main reforms concern the agricultural sector. One of the priorities is securing access to land, a lever for stimulating investment, improving productivity and increasing the sector's competitiveness. In addition, the development of irrigated agriculture is essential and requires substantial investment," Marc Stocker told Togo First in an interview.
The World Bank economist underscored Togo's resilience, pointing out that despite challenges, the country has significant growth potential. However, private investment is key to exploit this potential and develop sustainably.
One of the report’s main findings concerns the African Continental Free Trade Area (AfCFTA). The authors believe it has the potential to make Togo attract more international investors. This, they claim, could cause foreign direct investment in the country to rise by about 135% by 2035. However, for the prediction to materialize, more regulatory reforms and trade facilitation are needed, according to the report.
"The implementation of the African Continental Free Trade Area is an important opportunity for Togo, as it could lead to a doubling of the stock of foreign investment by 2035. It is also an opportunity to develop cross-border trade, which plays a crucial role, particularly in the agricultural sector," said Fily Sissoko, World Bank Resident Representative for Togo.
The report also recommends greater social inclusion and more support for vulnerable people. Reducing socio-economic disparities and guaranteeing equitable access to basic services are essential to the well-being of all Togolese, said the World Bank authors.
"A major challenge facing the government is being able to sustain this growth while bringing back fiscal balances. This is a priority to avoid increasing the debt burden at the expense of social programs", noted Marc Stoker, Senior Economist at the Bretton Woods institution.
Fiacre E. Kakpo
