TOGO
Debt Treatment
-
June 12, 2008
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Supporting aggreements with the international institutions
|
IMF programme supported by an Arrangement under the Poverty Reduction and Growth Facility (PRGF)
approved on
April 21, 2008
Download the IMF report :
PRGF document
|
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Total external debt of the country
|
$2100 million
as of
December 31, 2007
,
$973 million
of which being due to the Paris Club as of
April 01, 2008
|
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Amounts treated
|
$740 million
,
of which
$347 million
being canceled
,
of which
$393 million
being rescheduled
|
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Categories of debts treated
|
treatment of arrears as of
March 31, 2008
,
treatment of maturities falling due from
April 01, 2008
up to
March 31, 2011
|
|
Repayment profile
|
treatment under
Naples 67% terms
(cancellation rate of
67% )
-
repayment of non ODA credits over
23
years
,
with
6
years of grace
, after cancellation to a rate of
67%
-
repayment of ODA credits over
40
years
with
16
years of grace
|
|
Specific provisions
|
possibility to conduct debt swaps
On a voluntary and bilateral basis, the Government of each Participating Creditor Country or its appropriate institutions may sell or exchange, in the framework of debt for nature, debt for aid, debt for equity swaps or other local currency debt swaps:
(i) the amounts of outstanding loans and consolidations as regards ODA debts, with the exception of those administered by IDA and provided by the European Union member States;
(ii) the amounts of other outstanding credits, loans and consolidations with the exception of those administered by IDA and provided by the European Union member States, up to 10% of the amounts of outstanding loans, credits and consolidations as of 30 June 1992 or up to an amount of 20 million of dollars of the United States of America, whichever is higher.
good will clause
Participating Creditor Countries agree to grant a topping-up of the debt reduction to Cologne terms once the Togolese Republic reaches its Decision Point under the Enhanced Debt Initiative for the Heavily Indebted Poor Countries, provided that the Government of the Togolese Republic maintains satisfactory relations with the Participating Creditor Countries and the IMF.
Phases
-
First phase :
From
April 01, 2008
up to
March 31, 2009
implemented at the signature of the agreement
-
Second phase :
From
April 01, 2009
up to
March 31, 2010
not implemented yet
-
Third phase :
From
April 01, 2010
up to
March 31, 2011
not implemented yet
de minimis threshold of
10 000
USD
|
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Comparability of treatment provision
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In order to secure comparable treatment of its debt due to all its external public or private creditors, the Government of the Togolese Republic commits to seek from all its external creditors debt reduction and reorganisation arrangements on terms comparable in net present value to those set forth in the Agreed Minutes dated 12 June 2008 for credits of comparable maturity. Comparability of treatment for debt reduction in net present value is assessed not only on the basis of the reduction in the face value of the debt but also on the terms of repayment of the debts not cancelled.
Consequently, the Government of the Togolese Republic commits to accord all categories of creditors -and in particular creditor countries not participating in the Agreed Minutes dated 12 June 2008, commercial banks and suppliers - a treatment not more favourable than that accorded to the Participating Creditor Countries.
For the purpose of the comparison between the arrangements concluded by the Government of the Togolese Republic with its creditors not listed in the Agreed Minutes dated 12 June 2008 on the one hand, and arrangements with the Participating Creditor Countries on the other hand, all relevant elements will be taken into account, including the exposure of the creditors not listed in the Agreed Minutes dated 12 June 2008, the level of cash payments received by those creditors from the Government of the Togolese Republic as compared to their share in the Togolese Republic’s external debt, the nature and characteristics of all treatment applied, including debt buy backs, and all characteristics of the reorganised claims and in particular their repayment terms whatever forms they take, and in general the financial relations between the Government of the Togolese Republic and the creditors not listed in the Agreed Minutes dated 12 June 2008.
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Cutoff date
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January 01, 1983
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Organisation of the session
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The meeting was chaired by
M. Julien RENCKI,
Vice Chairman of the Club de Paris
The head of the debtor country's delegation was
M. Adji Otèth AYASSOR,
Minister of Economy and Finance
Participating creditors
AUSTRIA
,
BELGIUM
,
CANADA
,
DENMARK
,
FRANCE
,
GERMANY
,
ITALY
,
JAPAN
,
NETHERLANDS
,
SPAIN
,
SWEDEN
,
SWITZERLAND
,
UNITED KINGDOM
Observers
RUSSIAN FEDERATION
,
UNITED STATES OF AMERICA
,
African Development Bank
,
IMF
,
UNCTAD
,
World Bank
Press release
Read the press release
Download the press release in PDF
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