AGP Executive Report

AI & Digital Infrastructure: Prime Minister Samuel Matekane says Lesotho is the first country to move from assessing readiness to implementing the UN AI Blueprint, citing work on computing capacity, data centres, connectivity, skills and financing, and warning that the digital divide is now also about access to power and data. Diplomacy & Trade: Tajikistan and Lesotho formalised diplomatic relations at the UN General Assembly, with ministers discussing cooperation across trade, industry, tourism, and water and energy. Textiles & Jobs: Lesotho’s Finance Ministry says FNB funding under the Inclusive Growth Facility will help Vishan Clothing and Leo Garments expand, targeting at least 1,400 new textile and clothing jobs for young people and women. Agriculture Support: Government will keep subsidised input prices the same for 2026/27, with subsidies covering 70% of seeds and herbicides and 80% of manure as sales roll out countrywide. Water Projects Under Pressure: Parliament heard that six mega water projects face delays tied to community pushback, procurement issues, workmanship and “construction mafia” dynamics, with criminality flagged as a key obstacle. Health & Environment: Health authorities recovered expired ARVs dumped near the Mabolou River at Ha Thetsane, warning against unsafe disposal and misuse. Cross-Border Connectivity: UNDP highlights how landlocked countries can turn logistics corridors into trade engines, using technology and coordinated transport modes. Electricity Access Gap: World Bank data shows major Southern Africa power shortfalls, with Lesotho’s region facing wide disparities in electricity access.

Textile Jobs Boost: Lesotho’s textile and clothing sector is set to add about 1,400 jobs after FNB funding of M100 million supports expansions by Vishan Clothing and Leo Garments under the Inclusive Growth Facility. Agriculture Inputs: The Ministry of Agriculture says subsidised input prices for the 2026/27 season will stay the same as last season, with government covering 70% of seeds and herbicides and 80% of manure. Water Projects Under Strain: Parliament updates point to delays on mega water infrastructure, with criminality, procurement issues, workmanship problems and community pushback cited as key stumbling blocks. Water Safety Worries: Residents in Thaba Chweu report contaminated water linked to sewage pollution, raising health concerns. Central Bank Building Risks: Staff at the Central Bank of Lesotho allege the new headquarters has cracked, flooded and is at risk of collapse, echoing earlier warnings. SDG Push: Lesotho used the SDG Moment in New York to highlight progress but warned implementation is sluggish amid global headwinds and debt pressures. China Ties: The Chinese Embassy marked 77 years since the PRC’s founding, pointing to Mafeteng Solar Phase II and a protocol on wool exports. Tourism & Culture: Ghana’s Kacstone Records and Sister Kingdom Network joined a Lesotho Tourism Pitso, including cultural exchange such as a traditional smock presentation.

Textile Jobs Boost: Lesotho’s textile and clothing sector is set to add about 1,400 jobs after FNB injects M100 million via the Inclusive Growth Facility, backing Vishan Clothing (800 more jobs) and Leo Garments (600 more). Farm Inputs Kept Affordable: The Ministry of Agriculture says subsidised input prices for the 2026/27 season will stay the same as last season, with government covering 70% of seeds and herbicides and 80% of manure, starting 21 September. Water Projects Under Pressure: Parliament heard that six mega water projects are behind schedule, with delays blamed on community pushback, procurement issues, workmanship problems and “construction mafia” interference—while officials warn against treating delays as normal. Water Crisis Watch: In Thaba Chweu, residents report contaminated water and sewage pollution, with tests showing unsafe bacterial levels and no chlorine, raising health fears. China–Lesotho Trade & Energy Links: The Chinese Embassy marked the PRC’s 77th anniversary, pointing to Mafeteng Solar Phase II and a protocol on wool exports to China, framed as new opportunities for Basotho farmers and businesses. Governance & Industry Risk: Reports say Lesotho’s Central Bank headquarters has cracked and flooded again, with staff fearing structural failure. Border Security Tech Debate: A call is made to scale up border technology and fund the 2026–30 Borderline Infrastructure Improvement Plan, as fencing and access roads alone are not enough.

Textile Jobs Boost: Lesotho’s Finance Minister says two clothing firms—Vishan Clothing and Leo Garments—will expand under the Inclusive Growth Facility, with funding tied to FNB support, expected to create about 1,400 new jobs for young people and women. Agriculture Inputs: The Ministry of Agriculture confirms subsidised seed, herbicide and manure prices will stay the same for the 2026/27 season, with countrywide sales starting 21 September. Health Systems Under Pressure: Reports warn the government is shutting down the Health Maintenance Project Implementing Unit (HM-PIU) from 30 September, risking service interruptions at 226 facilities and threatening thousands of jobs. Water & Food Safety: Leribe will mark World Food Day with climate-smart farming demos, while a food specialist urges safer handling at gatherings and funerals. Inclusive Transport: Roads Directorate rolls out new pedestrian traffic lights with countdown timers and audible buzzers for people with visual and hearing impairments. Governance & Infrastructure: The Central Bank’s new headquarters is alleged to be cracking and flooding, and staff fear collapse; separately, cabinet ordered a minister to reverse LHWC advisory appointments.

Textiles & Jobs: Lesotho’s textile and clothing sector is set to add about 1,400 new jobs after FNB injects M100m into two firms under the Inclusive Growth Facility—Vishan Clothing (800 more jobs) and Leo Garments (600 more). Agriculture & Food Security: The Ministry of Agriculture says subsidised input prices for the 2026/27 season will stay the same as last year, with sales starting 21 September nationwide. SDGs & Policy Push: Lesotho is using the SDG Moment 2026 in New York to highlight progress but admits implementation is “sluggish” amid global headwinds. Digital Transformation: Lesotho became the first African country to validate a Data Value Creation Blueprint, a step in its digital agenda. Public Works & Inclusion: Roads Directorate launched inclusive traffic lights with countdown timers and audible buzzers for visually and hearing-impaired pedestrians. Health & Safety: Health authorities recovered expired ARVs dumped near the Mabolou River and warned against unsafe disposal and self-medication. Governance Watch: Staff at the Central Bank of Lesotho allege the new headquarters is cracking and flooding, raising collapse fears.

Electricity Access Gap: World Bank data shows Southern Africa still has huge power shortfalls, from Malawi’s 15.6% access in 2024 to South Africa’s 90%+, underlining how many households remain off-grid. Monetary Policy Watch: African central banks are widely expected to keep interest rates high to manage energy and food-price shocks, with El Niño risks adding pressure. Labour Exploitation in Mining: Reports describe Zimbabweans trapped in illegal “zama zama” gold mines in South Africa, facing debt bondage and forced labour. SACU Growth Snapshot: Eswatini’s economy grew 6.1% in Q1 2026, while Lesotho contracted 0.8% quarter-on-quarter, highlighting uneven regional momentum. Textiles Jobs Boost: Lesotho’s textile sector is set to add about 1,400 jobs after M100m funding via the Inclusive Growth Facility supports Vishan Clothing and Leo Garments. Farming Inputs Unchanged: Subsidised seed, herbicide and manure prices for 2026/27 will stay the same as last season, with sales starting 21 September. Water and Health Risks: Concerns persist over contaminated water in Thaba Chweu, while Lesotho’s health sector faces disruption fears after a unit supporting clinics and hospitals is set to shut down. Tourism and Culture: Lesotho’s Tourism Pitso in Maseru featured a Ghanaian smock presentation and renewed calls for cultural tourism and intra-Africa partnerships.

Textile Jobs Boost: Lesotho’s textile and clothing sector is set to add about 1,400 jobs after First National Bank funding of M100 million under the Inclusive Growth Facility, with Vishan Clothing and Leo Garments expanding operations for young people and women. Farming Support: The Ministry of Agriculture says subsidised input prices for the 2026/27 season will stay the same as last season, with government covering 70% of seeds and herbicides and 80% of manure ahead of the Monday, 21 September rollout. Water Safety Alarm: Residents in Thaba Chweu, Mpumalanga, say contaminated water and sewage pollution are ongoing despite past promises, with tests showing unsafe bacteria levels and no chlorine—raising health fears for communities that can’t afford alternatives. Governance & Infrastructure Risk: Central Bank of Lesotho staff allege the new headquarters has cracked, flooded and shaken, with fears it could collapse, while sources also say a minister moved to set up an LHWC advisory unit without cabinet approval and was ordered to reverse it. SDG Push: Lesotho is using the SDG Moment in New York to highlight progress and warn that implementation remains sluggish amid global headwinds. Tourism & Culture Links: A Ghanaian delegation presented a traditional smock to Lesotho’s tourism minister during the Lesotho Tourism Pitso in Maseru, spotlighting cultural tourism and intra-African partnerships.

Textile Jobs Boost: Lesotho’s textile and clothing sector is set to add about 1,400 new jobs after FNB injects M100 million under the Inclusive Growth Facility, backing Vishan Clothing (planned +800 jobs) and Leo Garments (+600), with the Finance Minister outlining the expansion plans in Parliament. Agriculture Inputs: The Ministry of Agriculture says subsidised farming input prices for 2026/27 will stay the same as last season, with sales starting 21 September and government covering 70% of seeds and herbicides and 80% of manure. Central Bank Building Risk: Central Bank staff allege the new headquarters has shaken, cracked and flooded, with fears it could collapse, while the bank and contractor dispute earlier claims of defects. Health Infrastructure at Risk: Government ordered the shutdown of the Health Maintenance Project Implementing Unit (HM-PIU) from 30 September, threatening clinic services and thousands of jobs. Inclusive Transport: Roads Directorate launched inclusive traffic lights with countdown timers and audible buzzers for visually and hearing-impaired pedestrians. SDG Push: Lesotho used the UN SDG Moment to highlight progress and ongoing headwinds, while calling for accelerated action.

Hydropower & AI Deal Under Scrutiny: Lesotho signed a US$6.2bn Kobong Project deal with Convalt Energy for a hydropower plant and AI data centre, but questions are rising after the named local partner Sekhametsi Investment Consortium includes Public Works Minister Matjato Moteane as a shareholder, with calls to watch for conflict-of-interest. Inclusive Growth in Textiles: First National Bank funding of M100m is set to support two textiles firms (Vishan Clothing and Leo Garments), with expansion plans expected to create at least 1,400 jobs. Health Systems at Risk: Government plans to shut down the Health Maintenance Project Implementing Unit (HM-PIU) on 30 September, threatening clinic operations that keep water, power, sanitation and ICT running for over 1.3m Basotho. Alcohol Regulation Push: SAAPA is urging stronger liquor laws after reports of children as young as nine and 10 consuming alcohol, including calls to raise the legal drinking age. Border Trade Pressure: Footage of a damaged South Africa–Lesotho border fence is reigniting concerns about illegal crossings and informal smuggling at the crossing point. Public Safety Upgrade: Roads Directorate launched inclusive traffic lights with countdown timers and audible buzzers for visually and hearing-impaired pedestrians. Digital Transformation Milestone: Lesotho became the first African country to validate a Data Value Creation Blueprint, advancing its digital economy agenda. Consumer Alert: Woolworths’ WBeauty shampoo recall is spreading regionally after a COMESA alert, with cross-border sales to Lesotho flagged.

Border Security & Trade: A South African creator shared footage of a damaged South Africa–Lesotho border fence at the official crossing, alleging a long-used gap and informal traders offering illegal carry services. Textiles & Jobs: Lesotho’s Inclusive Growth Facility is set to create at least 1,400 jobs, with M100m from FNB backing Vishan Clothing and Leo Garments for expansion. Health & Medicines: The Ministry of Health recovered 160 bottles of expired ARVs near Ha Thetsane and warned against unsafe disposal and self-medication. Digital & Data: Lesotho became the first African country to validate a Data Value Creation Blueprint, pushing its digital transformation agenda. Transport Accessibility: Roads Directorate launched inclusive traffic signals on Kingsway with countdown timers and audible buzzers for pedestrians with visual and hearing impairments. Energy & Investment: Lesotho signed a US$6.2bn Kobong deal with Convalt Energy for hydropower and an AI data centre, while conflict-of-interest questions swirl around a named local partner. Public Health (NTDs): WHO Lesotho outlined a renewed deworming push targeting high-risk districts after a 2015 survey found widespread soil-transmitted helminths.

AGOA Extension: SADC says the African Growth and Opportunity Act extension to December 2028 gives Southern Africa more certainty for exporters and investors, with renewed chances for trade, jobs and value-added output in sectors like textiles, agriculture and minerals. Textiles & Jobs in Lesotho: Lesotho’s Inclusive Growth Facility is set to create at least 1,400 jobs after FNB funding of M100m for two clothing firms—Vishan Clothing and Leo Garments—supporting expansions in the textiles and clothing subsectors. Lesotho Highlands Water Project: LHWP Phase 2 is at 56.7% progress, with Polihali Dam at 53% and the transfer tunnel at 58%, despite geological delays affecting tunnel boring. Kobong Deal Scrutiny: Lesotho’s US$6.2bn Kobong hydropower and AI data centre agreement faces conflict-of-interest questions after the energy minister named local partners linked to a public works minister. Inclusive Transport: Roads Directorate has launched inclusive traffic lights with countdown timers and audible buzzers at the State Library intersection, to be rolled out along Kingsway. Health & Food Safety: Health officials recovered expired ARVs at Ha Thetsane, while a food specialist warns Basotho to improve hygiene and handling during gatherings and funerals. Regional Trade & Finance: SADC pushes a new SADC Exchange Gateway to connect stock exchanges for cross-border trading, while Southern Africa’s integration debate continues as trade remains heavily tied to South Africa.

SADC Capital Markets Push: SADC is moving toward cross-border trading with the SADC Exchange Gateway and a Smart Order Router, aiming to connect regional stock exchanges and broaden investor access. Public Health & Waste: Lesotho’s Ministry of Health recovered 160 bottles of expired ARVs near Ha Thetsane, quarantined them, and warned against unsafe disposal and misuse. Health Systems Under Strain: Government has ordered the shutdown of the Health Maintenance Project Implementing Unit (HM-PIU) by 30 September, risking clinic power, water, sewerage, medical waste and ICT services—plus thousands of contractor jobs. Road Safety for All: The Roads Directorate launched inclusive traffic lights on Kingsway with countdown timers and audible buzzers for visually and hearing-impaired pedestrians. Energy & Infrastructure Watch: Lesotho Highlands Water Project Phase 2 is at 56.7% overall, with Polihali Dam at 53% and the transfer tunnel at 58% despite underground delays. Hydropower + AI Deal Scrutiny: Lesotho’s Kobong Project hydropower and AI data centre deal with Convalt Energy is signed, but conflict-of-interest questions are emerging over a named local partner linked to a senior minister. Food Safety: A food specialist warns Basotho to improve hygiene and avoid cross-contamination during funerals and gatherings. Regional Business & Jobs: Botho University and WASCO signed an MoU to give students practical engineering and digital transformation experience tied to water and urban resilience. Prison Contraband: The Madlanga Commission heard that over 102,720 cellphones were seized in prisons from 2023 to 2026, fueling an illicit prison economy.

Health Infrastructure: Lesotho’s Health Maintenance Project Implementing Unit (HM-PIU) is set to shut down on 30 September 2026 with no handover plan, putting 226 clinics and hospitals’ water, power, sewerage, medical waste and ICT services at risk and threatening up to 1.3 million people plus thousands of contractor jobs. Public Health & Food Safety: A University of Johannesburg food specialist warns Basotho about unsafe food handling during funerals and gatherings, urging community-led hygiene sensitisation to prevent cross-contamination and improper storage. Digital & Data Policy: Lesotho becomes the first African country to validate a Data Value Creation Blueprint, a step in MICSTI’s push to treat data as a national asset for services and business opportunities. Transport Accessibility: Roads Directorate has launched inclusive traffic lights with countdown timers and audible buzzers at the State Library intersection, to be rolled out along Kingsway. Water & Industry: Lesotho Highlands Water Project Phase 2 progress is reported at 56.7%, with Polihali Dam and the transfer tunnel advancing despite underground conditions slowing tunnel boring. Energy & Investment: Lesotho signed a US$6.2bn Kobong deal with Convalt Energy for hydropower and an AI data centre, but scrutiny is growing over a potential conflict involving a local partner linked to a senior minister. Consumer & Cross-Border Trade: Woolworths’ WBeauty clarifying shampoo is recalled after bacteria detection, with a COMESA alert extending vigilance to regional markets including Lesotho. Remittances: Despite tighter migration controls, remittances to low- and middle-income countries continue to rise, with family needs driving inflows.

Eskom Expo for Young Scientists: 316 finalists from 35 Eskom Expo regions will gather in Johannesburg (29 Sep–2 Oct) with 24 international participants, including Lesotho, to present research across 13 categories, with growing focus on health, learning and AI applications. Lesotho Highlands Water Project Phase 2: LHWP II progress is at 56.7% with R24bn spent of a R53bn budget; Polihali Dam is 53% complete and the 38km transfer tunnel is 58%, despite slower tunnel boring due to underground conditions. Kobong hydropower + AI deal under scrutiny: Lesotho’s US$6.2bn Convalt Energy agreement promises power exports, but questions are raised over ministerial links to a potential local partner, with recusal claims noted. Food production push: Agriculture Minister Selibe Mochoboroane says Lesotho’s low output is driven by gaps in farming knowledge and urges peer learning plus expert farm visits. Pandemic preparedness upgrade: WHO and the Pandemic Fund handed Lesotho about M2.5m in medical and ICT equipment to strengthen early detection and response. Mobile data gets cheaper: Lesotho’s 1GB price fell to M32.75 in Sep 2026, down from M42.00 in 2023, as competition tightens. WBeauty shampoo recall: A COMESA alert expands a Woolworths recall after bacteria were detected; products sold across several countries including Lesotho are affected.

LHWP Phase 2 Progress: Lesotho’s Lesotho Highlands Water Project Phase 2 is at 56.7% overall completion, with Polihali Dam at 53% and the 38km transfer tunnel at 58% despite geological delays; ministers also visited resettlement and works sites and flagged plans to recover lost time. Bridges for Connectivity: Two newly completed LHWP II bridges—Mabunyaneng and Khubelu—are set to be unveiled in Mokhotlong, designed to keep the A1 Road passable year-round once Polihali is impounded. Kobong Deal Scrutiny: Lesotho’s record $6.2bn Convalt Energy hydropower plus AI data centre deal faces conflict-of-interest questions after the minister named a local partner in which a senior official holds shares, with feasibility studies and implementation steps still ahead. Food Production Push: Agriculture Minister Selibe Mochoboroane says Lesotho’s low output is driven largely by gaps in farming knowledge, urging farmers to share skills and for experts to advise based on real field conditions. Wool & Mohair Value Addition: The ITC Ethical Fashion Initiative roadshow is pushing Teyateyaneng and other districts to shift wool and mohair from raw exports into higher-value products and jobs. Public Health Equipment: WHO and the Pandemic Fund handed Lesotho about M2.5m in medical and ICT tools to strengthen early outbreak detection and response. Consumer Alert: Woolworths’ WBeauty shampoo recall has expanded regionally after bacteria were detected, with COMESA warning that cross-border purchases can spread affected products. STEM & Skills Link: Botho University and WASCO signed an MoU to give students practical workplace experience in areas like water management and digital transformation. Tech for Tourism: Lesotho is rolling out a VR “Kings of Lesotho” experience to bring royal heritage and key sites into a future-facing tourism pitch.

Hydropower & AI Deal Under Scrutiny: Lesotho signed a $6.2bn Kobong Project with Convalt Energy to build a hydropower plant and AI data centre, but questions are rising after the named local partner Sekhametsi Investment Consortium links to Public Works Minister Matjato Moteane, who says he will recuse himself. Water Infrastructure Progress: Lesotho Highlands Water Project Phase 2 is at 56.7% overall, with Polihali Dam 53% complete and the 38km transfer tunnel 58% complete despite underground conditions slowing tunnel boring. Bridges for Mokhotlong: Two newly completed LHWP II bridges—Mabunyaneng and Khubelu—are set to be unveiled, restoring year-round access where crossings will be submerged by the Polihali reservoir. Food Security & Health: WHO and the Pandemic Fund handed Lesotho about M2.5m in medical and ICT equipment for faster outbreak detection, while a deworming drive targets thousands of children in high-risk districts. Agriculture Knowledge Push: Minister Selibe Mochoboroane says Lesotho’s low production is mainly a skills gap, urging farmers to share practical know-how and get expert farm visits. Value Addition for Wool & Mohair: The Ethical Fashion Initiative roadshow is taking wool and mohair training to multiple districts to help MSMEs move from raw fibre to higher-value products. Regional Consumer Alert: Woolworths’ WBeauty shampoo recall spreads across COMESA after bacteria were detected, including sales into Lesotho and other countries. Tech & Jobs Link: Botho University and WASCO partner to give students workplace experience in areas like water management and digital transformation. STEM Showcase: Learners will compete at Eskom Expo ISF, with projects spanning AI, disease diagnosis and disability solutions. Mobile Data Prices Fall: Lesotho’s cost of 1GB dropped to M32.75 in September 2026, driven by competition and Starlink’s pressure on the market. Engineering Recognition: AECOM picked up CESA Aon Engineering Excellence Awards commendations for work including Lesotho’s Polihali Western Access Road.