The Togo government is in the process of approving a measure to support technological and digital innovation. The executive, gathered in the Council of Ministers, passed “the preliminary draught law relating to the development of the innovation or startup ecosystem in Togo” yesterday, Wednesday, January 11, 2022. It had been considered at first reading a few weeks prior (Wednesday, December 21, 2022).
Towards a “Tech” Label
The text’s specific goal is to “boost Togo’s innovation ecosystem by establishing a labelling mechanism for startups and corporations” in the field of technology. This labelling will be done in accordance with “objective standards,” according to Victoire Tomegah-Dogbe’s government in a news release. These criteria will be based on “creativity, innovation, the development of high added value, as well as growth potential,” according to the executive.
Thus, the text, if approved by the National Assembly, will strive to establish an environment favourable to the “modernization of the Togolese economy”, in particular through the development of digital activities in the public and private sectors. , “for the benefit of citizens and enterprises”.
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Tax and customs incentives
In particular, the law would establish an incentive tax and customs structure to encourage the adoption and growth of digital technologies. There will also be “measures beneficial to the establishment of tech startups under Togolese law,” the specifics of which are unknown at this time.
Furthermore, while Togo has few leaders in the field of tech and digital technology for the time being, the country can count several players, particularly in the financial technology sector (fintech), such as Semoa, which already offers mobile-banking and digital ticketing solutions in Togo and internationally, or DizzitUp, a recent finalist in the Ecobank Fintech Challenge.
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Charles Rapulu Udoh
Charles Rapulu Udoh is a Lagos-based lawyer, who has several years of experience working in Africa’s burgeoning tech startup industry. He has closed multi-million dollar deals bordering on venture capital, private equity, intellectual property (trademark, patent or design, etc.), mergers and acquisitions, in countries such as in the Delaware, New York, UK, Singapore, British Virgin Islands, South Africa, Nigeria etc. He’s also a corporate governance and cross-border data privacy and tax expert.
As an award-winning writer and researcher, he is passionate about telling the African startup story, and is one of the continent’s pioneers in this regard