Togo: Remittances from diaspora reached nearly 9% of GDP in 2017

Finance

Friday, 27 April 2018 15:37

Togo: Remittances from diaspora reached nearly 9% of GDP in 2017

(Togo First) - Remittances from Togolese diaspora to their relatives and friends at home were at 8.7% of the country’s gross domestic product by the end of 2017, a report released by World Bank April 22, 2018, reveals.

Proportionally to GDP, Togo was the seventh country to have received the most funds from its diaspora in the sub-Saharan African region. It comes ahead of nations like Mali (6.9% of GDP), or even Nigeria (5.6%) which captured the most remittances in Africa and is the fifth worldwide in this regard, with more than $22 billion received in 2017.

According to World Bank’s report entitled “Migration and Remittances: Recent developments and Outlook”, money transfers to sub-Saharan Africa (SSA) are the most expensive worldwide (cost about 29% more than global average).

The document highlights that West Africa captured a significant portion of the remittances in SSA. Indeed, based on GDP, eight countries of the region are found in the top 10 of countries that received most funds from their diaspora in sub-Saharan Africa. These are Liberia, The Gambia, Senegal, Cape Verde, Togo, Guinea Bissau, Mali and Nigeria.

In regards to the volume of transfers captured also, West Africa also had a strong presence with Nigeria ($22 billion), Ghana ($2.2 billion) and Senegal ($2.2 billion) leading the race. In this top 10, Mali ($1 billion), Liberia ($0.6 billion) and Burkina Faso ($0.4 billion) which are all in West African are also listed.

Fiacre E. Kakpo

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.