His Majesty King Letsie III of Lesotho and African Development Bank (AFDB) President Dr. Akinwumi Adesina have discussed transformative investments to accelerate economic growth in the country, leveraging the country’s water and energy resources to have also an impact on South Africa and Botswana.
The AFDB has earmarked $331 million for investment in Lesotho from 2025 to 2030. Specifically, the Bank is expected to mobilize approximately $260 million to support a 700 km water transfer project that will supply Lesotho and the region with 308 million cubic metres of water for domestic, agricultural, and industrial use.
"We will work on a $2.3 billion multi-partner integrated water transfer project that includes energy components, from agro-value chains and trade facilitation in Lesotho, and from Lesotho through South Africa to Botswana”, Adesina said after meeting with King Letsie III.
Lesotho is a critical regional water tower. The country's montane wetlands are crucial for millions living in the Orange River Basin that extends across Lesotho, South Africa, Botswana, and Namibia. Rivers flowing from its highlands are critical for meeting the region’s water and energy supply needs.
The initiative aligns with Lesotho’s strategic goals to expand renewable energy capacity and achieve universal access to clean water and sanitation by 2025. In this regard, the Lesotho Rural Water Supply and Sanitation Project, financed by the AFDB, is having an important impact.
King Letsie III welcomed the partnership with the bank, highlighting Lesotho’s readiness to attract investment. “We will hasten to ensure that the right policies and incentives are in place to attract participation from the private sector, particularly in sectors such as health, agriculture, and manufacturing,” he stated.
Lesotho’s water resources are not only vital to its own people but essential for the sustainable development of the region. “Every investment we make in water, sanitation, and education is an investment in Africa's present and future potential”, said Adesina.
