Government of Togo B3 stable: Update following rating affirmation; outlook unchanged

Moody's changes outlook to negative on Togo's B3 ratings - Rating Action – 2023/05/26 – US$ 180.00 – ...MOODY'S CREDIT RATINGS, ASSESSMENTS, OTHER OPINIONS, AND PUBLICATIONS ARE NOT INTENDED FOR USE BY RETAIL INVESTORS AND IT WOULD BE RECKLESS AND INAPPROPRIATE FOR RETAIL INVESTORS TO USE MOODY'S CREDIT RATINGS, ASSESSMENTS, OTHER OPINIONS OR PUBLICATIONS WHEN MAKING AN INVESTMENT DECISION. IF IN DOUBT YOU SHOULD CONTACT YOUR FINANCIAL OR OTHER PROFESSIONAL ADVISER. ALL INFORMATION CONTAINED HEREIN IS PROTECTED BY LAW, INCLUDING BUT NOT LIMITED TO, COPYRIGHT LAW, AND NONE OF SUCH INFORMATION MAY BE COPIED OR OTHERWISE REPRODUCED, REPACKAGED, FURTHER TRANSMITTED, TRANSFERRED, DISSEMINATED, REDISTRIBUTED OR RESOLD, OR STORED FOR SUBSEQUENT USE FOR ANY SUCH PURPOSE, IN WHOLE OR IN PART, IN ANY FORM OR MANNER OR BY ANY MEANS WHATSOEVER, BY ANY PERSON WITHOUT MOODY'S PRIOR WRITTEN CONSENT. MOODY'S CREDIT RATINGS, ASSESSMENTS, OTHER OPINIONS AND PUBLICATIONS ARE NOT INTENDED FOR USE BY ANY PERSON AS A BENCHMARK AS THAT TERM IS DEFINED FOR REGULATORY PURPOSES AND MUST NOT BE USED IN ANY WAY THAT...

Government of Togo B3 stable: Update following methodology update - Credit Opinion – 2022/12/01 – US$ 250.00 – ...Togo's credit profile is constrained by its lowly diversified and uncompetitive economy as well as weak policy effectiveness and fiscal management. Government debt, which we expect to stabilise at about 68% of GDP over the medium term, limits shock absorption capacity. The country's West African Economic and Monetary Union (WAEMU) membership, however, contains external and government liquidity risks to a degree, a key risk mitigant amid the current price shock....

Government of Togo: Unwinding fiscal stimulus is Togo's key credit challenge - Issuer Comment – 2022/11/28 – US$ 200.00 – ...The Government of Togo (B3 stable) presented in November 2022 its budget for 2023, in which it forecasts a still-sizeable deficit worth 6.5% of GDP (primary deficit of 4%) in order to ease growing social pressures amid rising food prices. The budget announcement follows recent upward revisions to its deficit projection for 2022 to 8.3% of GDP from 5% initially. Higher-than-expected fiscal deficits in 2022 and 2023 are credit negative; the government's strategy for phasing out this fiscal stimulus will be a key driver of Togo's credit profile going forward. Indeed, while its membership in the West African Economic and Monetary Union (WAEMU) helps to buffer the current inflation shock, enabling looser fiscal policy at still- manageable costs, failing to reduce deficits in the future risks setting government debt on an unsustainable trend. Upward revisions to 2022 numbers in October ¡ primary and overall deficits of 5.8% and 8.3% respectively, compared to 2.6% and 5% outlined in the original...

Government of Togo - B3 stable: Annual credit analysis - Issuer In-Depth – 2022/08/04 – US$ 750.00 – ...Togo's credit profile is constrained by its narrow economic base, which relies on agriculture and generates low levels of income, as well as the constrained efficiency of its public administration and an elevated government debt burden at 62% of GDP. High government debt levels leave the government with little capacity to weather shocks such as that triggered by the current rise in commodity prices or the coronavirus pandemic. However, Togo's membership of the West African Economic and Monetary Union (WAEMU) is a key credit support. Membership of the monetary union limits the risk of a balance of payments crisis because of its currency's credible peg to the euro, enabling the government to carry affordable debt with contained foreign-exchange risk. WAEMU membership also provides access to local-currency funding and the pooling of foreign-exchange reserves with larger countries with stronger credit profiles. The stable outlook reflects our expectation that government debt will stabilise...

Government of Togo B3 stable: Regular update - Credit Opinion – 2022/06/14 – US$ 250.00 – ...Togo's credit profile is constrained by its lowly diversified and uncompetitive economy as well as weak policy effectiveness and fiscal management. Government debt, which we expect to stabilise at about 60% of GDP in 2022-23 before receding, limits shock absorption capacity. The country's West African Economic and Monetary Union (WAEMU) membership, however, contains external and government liquidity risks, a key risk mitigant amid the price shock induced by the Russian invasion in Ukraine (Caa3 negative)....

Moody's affirms Togo's B3 ratings, maintains stable outlook - Rating Action – 2021/11/26 – US$ 180.00 – ...MOODY'S CREDIT RATINGS, ASSESSMENTS, OTHER OPINIONS, AND PUBLICATIONS ARE NOT INTENDED FOR USE BY RETAIL INVESTORS AND IT WOULD BE RECKLESS AND INAPPROPRIATE FOR RETAIL INVESTORS TO USE MOODY'S CREDIT RATINGS, ASSESSMENTS, OTHER OPINIONS OR PUBLICATIONS WHEN MAKING AN INVESTMENT DECISION. IF IN DOUBT YOU SHOULD CONTACT YOUR FINANCIAL OR OTHER PROFESSIONAL ADVISER. ALL INFORMATION CONTAINED HEREIN IS PROTECTED BY LAW, INCLUDING BUT NOT LIMITED TO, COPYRIGHT LAW, AND NONE OF SUCH INFORMATION MAY BE COPIED OR OTHERWISE REPRODUCED, REPACKAGED, FURTHER TRANSMITTED, TRANSFERRED, DISSEMINATED, REDISTRIBUTED OR RESOLD, OR STORED FOR SUBSEQUENT USE FOR ANY SUCH PURPOSE, IN WHOLE OR IN PART, IN ANY FORM OR MANNER OR BY ANY MEANS WHATSOEVER, BY ANY PERSON WITHOUT MOODY'S PRIOR WRITTEN CONSENT. MOODY'S CREDIT RATINGS, ASSESSMENTS, OTHER OPINIONS AND PUBLICATIONS ARE NOT INTENDED FOR USE BY ANY PERSON AS A BENCHMARK AS THAT TERM IS DEFINED FOR REGULATORY PURPOSES AND MUST NOT BE USED IN ANY WAY THAT...

Government of Togo - B3 stable: Annual credit analysis - Issuer In-Depth – 2021/06/23 – US$ 750.00 – ...The credit profile of Togo is constrained by the government's high debt burden, a weak institutional framework and the country's narrow economic base, which hinder its capacity to weather shocks like the one triggered by the coronavirus pandemic. Government debt was 57% of GDP at the end of 2020. Debt rollover needs are relatively large and pose a liquidity risk. Togo's membership of the West African Economic and Monetary Union (WAEMU) limits the risk of a balance of payments crisis and ensures access to local-currency funding, ultimately enabling the government to carry affordable debt with contained foreign-exchange risk. Support from development institutions also provides foreign-currency funding and anchors fiscal policy, which has proved ineffective at delivering credit-positive outcomes in the past. The outlook is stable, reflecting our expectation government debt will peak at just below 60% of GDP in 2021-22, before declining over the medium term. We expect the government to maintain...

Government of Togo B3 stable: Regular update - Credit Opinion – 2021/06/15 – US$ 250.00 – ...Togo's credit profile is constrained by its lowly diversified and uncompetitive economy with very low income levels, as well as weak policy effectiveness and fiscal management. High government debt, at above 55% of GDP, limits shock absorption capacity. The country's membership of the West African Economic and Monetary Union (WAEMU), however, contains external and government liquidity risks, a key risk mitigant as the coronavirus crisis dampens economic activity and weighs on public finances....

Government of Togo B3 stable: Update following assignment of ESG scores - Credit Opinion – 2021/02/04 – US$ 250.00 – ...Togo's credit profile is constrained by its lowly diversified and uncompetitive economy with very low income levels, as well as weak policy effectiveness and fiscal management. High government debt at above 70% of GDP limits shock absorption capacity. Membership to the West African Economic and Monetary Union (WAEMU) however contains external and government liquidity risks, a key risk mitigant as the coronavirus crisis dampens economic activity and weighs on public finances....

Government of Togo B3 stable: Regular update - Credit Opinion – 2020/11/12 – US$ 250.00 – ...Togo's credit profile is constrained by its lowly diversified and uncompetitive economy with very low income levels, as well as weak policy effectiveness and fiscal management. High government debt at 66% of GDP limits shock absorption capacity. Membership to the West African Economic and Monetary Union (WAEMU) however contains external and government liquidity risks, a key risk mitigant as the coronavirus crisis dampens economic activity and weighs on public finances....