Rédaction Africa Links 24 with Lesotho Times
Published on 2024-04-04 06:24:27
The government has successfully met the deadline to unlock the implementation of the multi-billion maloti Millennium Challenge Corporation (MCC) Compact II. The official launch of the project is scheduled for 11 April 2024 at the Thaba Bosiu Cultural Village. This milestone was achieved after parliament enacted three outstanding laws that were prerequisites set by the United States government for beginning the implementation of the MCC Compact II. These laws include the Labour Code Amendment Act 2024, Administration of Estates and Inheritance Act 2024, and Occupational Safety and Health Act 2024.
The MCC global Deputy Chief Executive Officer, Chidi Blyden, the US Embassy in Maseru Charge D ‘affaires, Keisha Toms Boutaleb, Prime Minister Sam Matekane, and members of his cabinet are expected to attend the launch on 11 April. The event will also be graced by MCA Lesotho II management and staff, as well as other high-ranking government officials.
Prime Minister Matekane confirmed that his government had received an implementation letter from the MCC, signaling the Compact Entry into Force (EIF) starting from 31 March 2024. This means that the Compact II investment of USD$300 million from the US government, matched with USD$22 million from the Government of Lesotho, is now unlocked, and the countdown for the five-year implementation timeline has begun.
The MCC Compact II, also known as the Lesotho Health and Horticulture Compact, aims to promote equitable and sustainable economic growth by addressing key constraints to growth in partnership with the private sector. The project focuses on enhancing access to quality healthcare, fostering business development opportunities, investing in high-value crop production, and creating formal employment opportunities for women and youth-owned enterprises.
To ensure effective implementation of the Compact, the government has established the Millennium Challenge Account-Lesotho II Authority (MCA-Lesotho II) and enacted the MCA Lesotho Act to legally establish the organization. The MCA-Lesotho II now has a total staff of 23 people ready to oversee the implementation of the Compact program.
The job creation potential of the horticulture project alone is estimated at 4000 jobs, with additional indirect jobs expected to be created through various activities. Sectors identified as crucial for the project include agriculture, trade, industries, value chains, infrastructure development, tourism, and creative sectors.
The government aims to create over 94,000 jobs within the next 10 years under the Business Environment and Technical Assistance (BETA) program. Prime Minister Matekane emphasized a zero-tolerance policy for corruption in the implementation of the Compact II projects, urging civil society, human rights defenders, media, and citizens to act as watchdogs.
Under the BETA program, small and medium enterprises will be empowered to ensure their growth. Training, business plan assistance, financial aid, and grants will be provided to support businesses, with a focus on women and youth-owned enterprises to address high unemployment rates among these groups.
The Compact II project builds upon the success of the first one, where America invested significantly in Lesotho’s health, education, and other sectors. The government is committed to ensuring the successful implementation of the MCC Compact II and the positive impact it will have on the country’s economic growth and development.
Read the original article on Lesotho Times
