• Togolese banks provided 16.2% of WAEMU cross-border credit by September 2025

• Regional cross-border financing rose to CFA405.6 billion

• Credit concentration remains high among large companies in Togo

Togolese credit institutions accounted for 16.2% of cross-border financing granted to the 400 largest corporate borrowers in the West African Monetary Union (WAEMU) as of the end of September 2025, according to the Central Bank of West African States (BCEAO).

This places Togo among the leading contributors, behind Burkina Faso at 33.1%, Benin at 21.0%, and Niger at 17.2%. These countries are characterized by strong trade flows from coastal economies, notably Togo and Benin, toward landlocked markets, particularly the Alliance of Sahel States (AES) countries of Burkina Faso, Niger, and Mali, as well as toward neighboring Nigeria, which is not a member of WAEMU.

Cross-border bank financing for large companies continues to grow across the union. As of the end of September 2025, outstanding cross-border credit reached CFA405.6 billion, representing 4.1% of total large exposures, up from CFA400.9 billion three months earlier and CFA295.1 billion a year earlier.

This increase reflects the rising involvement of several national banking systems, including Togo’s, in financing cross-border economic activity within the sub-region.

At the same time, credit concentration remains a concern. In Togo, the 50 largest companies account for 38.1% of total bank credit to the economy, according to central bank data, a ratio higher than in some other WAEMU countries. While cross-border financing supports large groups and regional trade, it also raises questions about the balance between funding major players and access to credit for small and medium-sized enterprises, which remain largely dependent on domestic markets.

Ayi Renaud Dossavi