The AfDB plans to invest in several priority areas : energy, particularly the development of energy infrastructure, including transmission lines between Lesotho and South Africa. There is also agriculture and food security, with efforts to modernize this sector to improve rural livelihoods. Climate resilience is also a key focus, with initiatives to address environmental challenges. Other priority areas include digitalization, with broadband expansion for financial inclusion and the modernization of public services ; water resource management, with the reinforcement of supply and sanitation projects. Additionally, trade competitiveness will be strengthened by improving export standards to promote regional integration.
One of the flagship projects is the rural water supply and sanitation project, which has resulted in the construction of 190 kilometers of pipelines, reservoirs with a capacity of 3.48 million liters, and 166 public water points, benefiting more than 28,000 people.
A commitment to the private sector and healthcare
In response to a request from King Letsie III, the AfDB also plans to invest $260 million in a $2.3 billion water transfer project linking Lesotho, Botswana, and South Africa. This project will transport 308 million cubic meters of water through a 700 km pipeline network, while generating 22 MW of hydroelectric power.
Faced with declining international financing, Akinwumi Adesina, President of the AfDB, emphasized the importance of private sector involvement: “Africa must prepare to work more closely with private investors. Every challenge is an opportunity for an entrepreneur.”
Lesotho’s Minister of Finance and Development Planning, Dr. Rets’elisitsoe Matlanyane, stated that the country’s energy supply is expected to exceed domestic demand by 2026, enabling electricity exports to South Africa. She also highlighted the importance of investments in health and nutrition, given the challenges of childhood stunting in several regions of the country.
Since joining the AfDB in 1973, Lesotho has benefited from 87 projects correspond to $429 million. Currently, eight projects worth $60 million are underway, and the AfDB aims to further increase its commitments in the coming years. With these strategic investments, Lesotho hopes to strengthen its infrastructure, modernize its economy, and attract more private investment, marking a new phase in its development.
