Togo is the top African country, in terms of new FDI projects secured in 2019

Investments

Monday, 13 January 2020 10:33

Togo is the top African country, in terms of new FDI projects secured in 2019

(Togo First) - Over the first 11 months of 2019, Togo was Africa’s leading country, in terms of attracted foreign investments. This was reported by FDI Intelligence, which is a specialist division from the Financial Times providing industry-leading insight and analysis on crossborder expansion, greenfield inward investment and foreign direct investment trends.

From January to November last year, Togo secured 11 new investment projects, against only two (2) over the same period in 2018. This is the highest growth rate relative to the number of greenfield projects, in all of Africa. Before that, the continent’s peak was seven projects, secured in 2013.

According to FDI Intelligence, Togo has attracted 6.7 times more investments than expected of an economy of its size. It is ahead of Rwanda and Senegal, respectively second and third.

Lauding the achievement, President Faure Gnassingbé declared: “This news consolidates our conviction that we are on the right track regarding the many reforms we have put in place to ensure prosperity and inclusive growth in our country.”

Most of the projects secured by Togo were yielded by a double partnership reached with the Dangote Group at the beginning of November last year. Under the deal, a phosphate treatment plant (at a cost of $2 billion) and a cement factory ($60 million) will be built in the country.

Another major investment is that of Amea Power which plans to build a $33.5 million solar power plant in Blitta.

Togo, let’s recall, is among the top reformers of Africa and third worldwide, according to the 2020 Doing Business report. The country received last year, its first international finance rating, and secured its first loan on the international market.

Octave A. Bruce

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.