Rédaction Africa Links 24 with Lesotho Times
Published on 2024-04-04 06:24:27
The government of Lesotho has successfully met the deadline to unlock the implementation of the multi-billion maloti Millennium Challenge Corporation (MCC) Compact II. The project is now set to be officially launched on 11 April 2024 at the Thaba Bosiu Cultural Village. This milestone was achieved after parliament enacted the three outstanding laws required by the United States government as prerequisites for starting the implementation of the MCC Compact II.
The three laws that were passed include the Labour Code Amendment Act 2024, Administration of Estates and Inheritance Act 2024, and Occupational Safety and Health Act 2024. Parliament worked diligently to ensure the passage of these laws by the set deadline of 31st March 2024.
A notable lineup of dignitaries is expected to grace the launch event on 11 April, including the MCC global Deputy Chief Executive Officer Chidi Blyden, Charge D ‘affaires of the US Embassy in Maseru Keisha Toms Boutaleb, Prime Minister Sam Matekane, members of his cabinet, MCA Lesotho II management and staff, and other high-ranking government officials.
Prime Minister Matekane confirmed that the implementation letter from the MCC had been received, marking the Compact Entry Into Force (EIF) starting from 31 March 2024. This unlocks the Compact II investment worth USD$300 million from the US government, matched with USD$22 million from the Government of Lesotho. The countdown for the five-year implementation timeline has officially begun.
The MCC Compact II, known as the Lesotho Health and Horticulture Compact, aims to foster equitable and sustainable economic growth by addressing key constraints to growth in partnership with the private sector. The project seeks to enhance access to quality healthcare, promote equitable business development opportunities, invest in high-value crop production, and increase profits and formal employment opportunities for women and youth-owned enterprises.
To ensure effective implementation of the project, the Lesotho 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 Board of Directors has been appointed, and the MCA Chief Executive Officer, Mannana Phalatse, has recruited a team of 23 staff members to oversee the Compact program.
The horticulture project alone is estimated to create 4000 jobs, with additional indirect jobs through supplies packaging, logistics, cold chain activities, and output processing. Key sectors identified for the project include agriculture, trade, industries, value chains, infrastructure development, tourism, and creative sectors.
Furthermore, more than 94,000 jobs are envisioned within the next 10 years under the Business Environment and Technical Assistance (BETA) program. Prime Minister Matekane emphasized a zero-tolerance policy towards corruption and invited 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 will be provided to new and old business owners, with a focus on women and youth-owned businesses to address the high unemployment rate among these groups. Businesses will receive assistance in drawing up business plans to access financial support and grants to aid their growth.
The Compact II project builds on the success of the first project where America invested significantly in sectors like health and education in Lesotho. The government is committed to ensuring the successful implementation of the Compact II and urges all stakeholders to work diligently to achieve the goals set out in the agreement.
Read the original article on Lesotho Times
