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Lesotho: US Govt applauds Lesotho’s strides on Compact II 

Lesotho: US Govt applauds Lesotho’s strides on Compact II 

Rédaction Africa Links 24 with Lesotho Times
Published on 2024-04-11 00:07:33

The governments of Lesotho and the United States (US) are set to launch the implementation of the MCC Compact II, unlocking the USD$322 million (M6.7 billion) Lesotho health and horticulture compact signed in 2022. This significant milestone follows the successful passing of three crucial pieces of legislation by the Lesotho government, namely the Labour Code Amendment Act 2024, Administration of Estates and Inheritance Act 2024, and Occupational Safety and Health Act 2024. Prime Minister Sam Matekane emphasized the importance of these laws in protecting the rights of workers, women, and children, particularly those vulnerable to injustices perpetuated by cultural norms.

With the required legislation in place, the MCC Deputy Chief Executive Officer Chidi Blyden sat down for an exclusive interview with Lesotho Times journalist, Mathatisi Sebusi, to discuss Lesotho’s preparedness for the MCC Compact II implementation. Blyden commended the government’s efforts in meeting the necessary legislative requirements, enabling the official commencement of the compact on March 30, 2024. He highlighted the importance of upholding democratic governance principles throughout the partnership to ensure successful implementation of the compact projects.

Regarding the disbursement of funds, Blyden explained that MCA-Lesotho II would oversee the allocation and distribution of compact funds, with MCC providing quarterly spending authority. Strict oversight mechanisms, including Fiscal and Procurement Agents, would ensure that funds are disbursed in compliance with established guidelines. The compact comprises four key projects, each aimed at enhancing different aspects of Lesotho’s development:

1. The Health Systems Strengthening Project focuses on improving primary healthcare services, financial management systems, and health data infrastructure.
2. The Market Driven Irrigated Horticulture Project seeks to boost rural incomes through climate-smart irrigation infrastructure and sustainable horticulture practices.
3. The Business Environment and Technical Assistance Project aims to support high-growth potential firms across various sectors, including agriculture and tourism.
4. The American Catalyst Facility for Development Project aims to attract private investment into Lesotho through blended finance transactions.

Passing the stipulated laws before project implementation was crucial, as it ensures inclusivity and equal access to development opportunities for all segments of society. Studies have shown that inclusive economic growth leads to long-term prosperity and stability. By supporting the enactment of necessary legislation, MCC aims to ensure that the compact’s benefits are distributed equitably across Lesotho’s population.

Considering Lesotho’s vulnerability to climate change impacts, particularly severe weather conditions, the horticulture project will address water management, land degradation, and food insecurity issues. The project will focus on sustainable water use, land conservation, and improving farming practices to mitigate the effects of climate change on food production and security in Lesotho.

In conclusion, the launch of the MCC Compact II signifies a significant step towards sustainable development in Lesotho, with a strong focus on inclusivity, economic growth, and climate resilience. By implementing the compact projects effectively and ensuring transparent fund disbursement, Lesotho stands to benefit from lasting socioeconomic improvements facilitated by this transformative partnership with the United States.

Read the original article on Lesotho Times

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