In Togo, the Bank of Africa (BOA) announced at the start of last week the allocation of 5 million euros, approximately 3 billion FCFA, to the BKG Distribution group, which specializes in agricultural equipment sales. This funding is part of a partnership established in May 2023 between the two organizations aimed at assisting Togolese farmers through a program for acquiring agricultural machinery.
This program will enable BKG Distribution to provide farmers with machinery like combine harvesters and tractors without requiring any upfront payments. The repayment schedule is expected to be flexible, extending over three years with interest rates deemed competitive.
The initiative aims to address the funding requirements of the agricultural sector by making equipment more accessible.
According to Bassirou Bonkoungou, the CEO of BKG Distribution, the established mechanism should enable farmers to obtain the necessary equipment to enhance their productivity without the usual constraints associated with initial investments. Youssef Ibrahimi, Top Manager of BOA-Togo, refers to this as a quick and straightforward financing solution that is tailored to the sector’s realities in the country.
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In a similar context, the bank revealed that talks are ongoing for an additional disbursement of ten million euros to support BKG Distribution. This is in line with the goal of aiding Togolese authorities in their efforts to modernize the agricultural sector and position it as a key driver of economic growth.
It is important to highlight that the mechanization of agriculture is a key focus of public policy in Togo, evidenced by the recent establishment of Regional Centers for Agricultural Mechanization (CRMA), which are intended to improve equipment access and enhance yields.
