IMF Staff Country Reports

Lesotho: Recent Economic Developments

Publication Date:

January 1, 1994

Summary:

This paper reviews economic developments in Lesotho during 1990–94. During the six years (1988/89–1993/94) under the IMF-supported programs, real GDP growth has averaged 6.5 percent, and investment has risen rapidly, owing to activities related to the Lesotho Highlands Water Project and substantial foreign private direct investment. Real gross national product growth averaged only 3.3 percent, owing to a decline in remittances, as a major retrenchment of mine workers in South Africa occurred during this period. The government’s budgetary position improved substantially during the six-year period.

Series:

Country Report No. 1994/002

Subject:

External debt

Notes:

This report on recent economic developments in Lesotho was prepared by a staff team of the International Monetary Fund as background documentation for the periodic consultation with this member country. In releasing this document for public use, confidential material may have been removed at the request of the member.