Togo lands a $250M deal with the IsDB to bolster the energy, agriculture, and private sector

Investments

Wednesday, 17 May 2023 17:29

Togo lands a $250M deal with the IsDB to bolster the energy, agriculture, and private sector

(Togo First) - Through its International Islamic Trade Finance Corporation (ITFC), the Islamic Development Bank (ISDB) will provide Togo with $250 million to lay the groundwork for expanding its partnership into three new key sectors: energy, agriculture, and private sector development.

The related agreement was signed last Friday, May 12th, on the third day of the IsDB’s annual meetings in Jeddah.

According to the ITFC, which disclosed the information, the deal will give Togo the means to develop its private sector and stimulate economic growth. It will also help the country have a more efficient and secure trading system for imports and exports.

Besides extending their partnership to more sectors, the two partners also inked an agreement for a 3-year program for capacity-building in trade facilitation, promoting export value chains, Islamic finance, e-commerce, and private sector development.

Last Friday, the ITFC signed a dozen major agreements with several countries, including Algeria and Cameroon, as well as regional organizations such as Afreximbank, and the ECOWAS Bank for Investment and Development (EBID). Afreximbank will receive $325 million in financing for its UKAPFA program, and EBID will get $27 million to meet the needs of its private sector clients. The ITFC also concluded a memorandum of understanding with OCP Africa to set up an innovative financing mechanism for African farmers.

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.