China grants Togo $12m

2010-11-11 11:45

Lome - China is to extend to the west African country of Togo a loan and grant amounting to nearly 12 million dollars for agriculture and infrastructure, the government said on Wednesday.

The agreements for an $8.6m grant and a $3.2m interest-free loan were inked on Tuesday.

"These grants will enable Togo to carry out important and strategic operations, particularly in the sectors of agriculture and infrastructure," Dede Ahouefa Ekoue, minister of planning and development, said on state television.

Economic growth in the small country bordered by Ghana and Benin is projected to rise modestly to 3% this year from 2.5% last year.

After a 14-year hiatus, the European Union was the first to resume aid to Togo, followed by China and then the Bretton Woods institutions after significant progress was noted in political reforms.

In 1993, after decades of authoritarian rule under dictator Gnassingbe Eyadema, international donors suspended financial aid to the former French colony, saying it would be resumed only after genuine democracy was in place.