FATF status

Togo is not on the FATF List of Countries that have been identified as having strategic AML deficiencies

Compliance with FATF Recommendations

The last Mutual Evaluation Report relating to the implementation of anti-money laundering and counter-terrorist financing standards in Togo was undertaken in 2022. According to that Evaluation, Togo was deemed Compliant for 6 and Largely Compliant for 10 of the FATF 40 Recommendations. It was deemed Highly Effective for 0 and Substantially Effective for 0 of the Effectiveness & Technical Compliance ratings.

The Togolese government has implemented various institutions and strategies to combat corruption, including the establishment of the High Authority for the Prevention and Fight against Corruption and Related Offenses (HAPLUCIA) in 2015, which promotes internal codes of conduct for private companies. In 2022, Togo adopted a national anti-corruption strategy for 2023-2027 focusing on legal frameworks, mobilization of national actors, and enhancing public administration integrity. Despite these efforts and participation in international agreements like the UNCAC, challenges remain, particularly in protecting NGOs involved in anti-corruption activities.

Togo's economy has shown steady growth of approximately 5% annually since 2008, supported by government reforms aimed at enhancing the business environment and attracting investment. The country benefits from its strategic location with Africa's 4th busiest port and has implemented a National Development Plan to modernize infrastructure and boost sectors like agriculture and light manufacturing, although challenges such as corruption and a weak legal system persist.

Togo's investment climate is bolstered by a reform-minded government and the strategic position of its port, which is the fourth busiest in Africa. The government has implemented various reforms, including a new Investment Code that ensures equal treatment for foreign and domestic investors, and has successfully attracted significant foreign direct investment, such as a $25 million investment from a U.S. textile company in 2023. However, challenges such as corruption, a weak legal system, and unclear land titles remain obstacles to sustained investment growth.