Togo: Forecast for 2019 budget amounts to CFA1,461 billion, up 11.5% compared to 2018

Public finance

Thursday, 04 October 2018 16:38

Togo: Forecast for 2019 budget amounts to CFA1,461 billion, up 11.5% compared to 2018

(Togo First) - During a ministers council held October 3, the government adopted the 2019 finance and management bill.

Under the new bill, the State’s budget for 2019, covering expenditures and revenues, should stand at CFA1,461 billion, against CFA1,311 billion in 2018, thus up 11.5%.

Budget revenues are expected to amount to CFA881 billion against 895 billion in 2018, down about 1%.

The government expects budget deficit next year to amount to CFA13.9 billion, financed by treasury surplus. Indeed, treasury earnings should reach CFA576.8 billion, up 17.5% while treasury expenses are to stand at 562.9 billion.

To meet this budget, Lomé expects its economy to expand, driven by household consumption and private investment. In addition, it will make sure public investments are at an acceptable level. Hence, Togo’s economy should grow by 5.1% in 2019, against 4.9% in 2018, spurred by major projects like the 2018-2022 national development plan (PND 2018-2022) whose main objective is to structurally transform Togo.

According to Togo’s government, 2019’s budget forecast are based, just like previously, on authorities’ goals under their social and economic policy as well as on a coherent macro-budgetary framework with the three-year program backed by the IMF’s extended credit facility (ECF) concluded May 5, 2017.

In this framework, the government commits to be “as strict towards the implementation of the 2019 finance and management bill”, to avoid “any occurrence that could hurt macroeconomic stability”.

“The government fully commits to improving public finances and take all measures necessary to speed up economic growth, ensuring that social needs of the Togolese people are met,” the authorities declared.

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.