Togo’s Economic Progress and Political Evolution: A Nation at a Crossroads in 2025

Economic Resilience and Development

Togo’s economy continues to show resilience in 2025, with GDP growth projected at 5.1%, though slightly slower than the previous year’s 5.3%. The country’s fiscal deficit is expected to decrease to 3% of GDP in 2025, supported by improved revenue collection and reduced public spending. This consolidation is partially offset by increasing consumption and private investment, particularly in the Adétikopé Industrial Platform.

Political Transformation and Challenges

The country has undergone significant political changes with a revised constitution establishing a new powerful executive position of President of the Council of Ministers (PCM), elected by the National Assembly with full decision-making authority over civil and military matters. Recent demonstrations in Lomé have highlighted social tensions, with protesters clashing with security forces, resulting in multiple casualties and allegations of civil rights violations by security officials.

Social and Economic Challenges

Despite economic progress, Togo faces significant challenges with a 45% poverty rate and per capita incomes below $900 annually. The country’s government debt stands at 68% of GDP, while limited foreign direct investment has contributed to sluggish employment growth and persistent inequality.

Regional Importance and Future Prospects

Togo maintains strategic importance as a developing maritime and transit hub in West Africa, with its port in Lomé serving as a crucial gateway to inland Sahel nations. The country’s position as a regional transport hub and home to a major West African airline underscores its significance in regional stability. Looking ahead, despite current challenges, economic growth is projected to strengthen to an average of 5.5% in 2026-2027.