This Public Finance Review (PFR) in Agriculture and Rural Connectivity Sectors in Togo investigates how improved public investment management could contribute to accelerating rural development and structural transformation in Togo. According to the report:
- The stock of productive capital remains relatively low, and the quality of infrastructure and public services has some room for improvement. Strengthening public investment management could significantly improve the quality of services without requiring more resources. Priority reforms are suggested to strengthen project selection, budgeting and implementation and ensure that climate risks are taken into account throughout the investment cycle.
- Mobilizing the private sector is essential to accelerate rural development, particularly in a tight fiscal context. Investor confidence in the quality of institutions and the sustainability of public finances is essential to attract private capital to infrastructure and agricultural modernization projects.
- Improving the efficiency of spending in the agricultural sector could significantly enhance productivity and food security. Revitalizing research, improving access to inputs, and building resilience to climate shocks requires better allocation of public resources and strengthened governance of the sector.
- The low rate of rural electrification is a significant obstacle to structural transformation in Togo, reflecting inadequate levels of public and private financing for on-grid and off-grid infrastructure, high connection costs, and unreliable service. Improving the performance of CEET and AT2ER and reforming the tariff structure of electricity services are essential to support a universal access policy.
- The rural road network has benefited from significant investments, but lack of maintenance and degradation due to frequent climatic shocks remains a major challenge. Modernizing the road asset management system, streamlining procurement procedures, promoting private sector engagement through PPPs, and allocating sufficient resources for road maintenance and rehabilitation are all key elements in boosting rural connectivity.