Lesotho
Overview
The Kingdom of Lesotho is made up mostly of highlands where many of the villages can be reached only on horseback, by foot or light aircraft.
During the winter shepherds wearing only boots and wrap-around blankets have to contend with snow. While much of the country, with spectacular canyons and thatched huts, remains untouched by modern machines, developers have laid down roads to reach its mineral and water resources. Lesotho is one of few African countries to see snow regularly. The Lesotho Highlands Water Project was completed in the 1990s to supply South Africa with fresh water.
Economic Indicators 20241
| Capital City | Maseru |
| Country size | 30 355 km2 |
| GDP at current prices (2024) | R43.8 billion |
| Population (2025) | 2,128,837 |
| Independence Day | 4 October |
| Website | www.gov.is |
| GDP per capita | R20,708 |
| Real economic growth rate (2024) | 5.2% |
| Annual inflation rate (2025) | 4.2% |
| Merchandise imports (intra-SACU Trade) (2024) | R27.4 billion |
| Merchandise exports (intra-SACU Trade) (2024) | R10.9 billion |
| Imports to the Rest of the World (2024) | R34.4 billion |
| Exports to the Rest of the World (2024) | R18.4 billion |
1 The Source of data for Real GDP growth and Inflation are Member States Economic Background Papers submitted in May 2024, to support the calculation of the 2024/25FY Revenue Shares. GDP per capita is a result of the Secretariat calculations (i.e., GDP per capita =GDP/Popn)
Economic Performance 2024
- Lesotho's economy grew by 1.8 percent in 2023― a slowdown compared to the previous year. Growth was primarily driven by the expansion in the mining and manufacturing sectors. Lesotho experienced a moderate reduction in inflation to 6.5 percent, down from 7.8 percent in 2022, suggesting a gradual stabilisation of domestic price pressures amid elevated energy costs, owing to volatile international supply disruptions. Although food inflation eased from 2022 levels, it remained elevated due to pressures such as erratic rainfall patterns and limited domestic production capacity in the agricultural sector.
- Growth is further projected, at 2.1 percent and 3.7 percent respectively in 2024-2025, resulting from an anticipated acceleration in construction activity related to infrastructure projects.
