Lesotho Ranked Among Africa’s Least Attractive Investment Destinations

Lesotho has been ranked second lowest in Africa in terms of its ability to attract investment, placing 30th out of 31 countries assessed in a recent study by Rand Merchant Bank (RMB).

RMB, a leading South African investment and corporate bank under the FirstRand Group, released an annual report titled “Where to Invest in Africa.” The report evaluates African countries based on their investment attractiveness, using indicators such as the ease of doing business, economic growth prospects, market size, and overall business environment.

The 2025/2026 edition, launched just over a week ago, placed Lesotho near the bottom of the rankings, ahead of only Zimbabwe, which came last at 31st place.

According to the report, Seychelles topped the list as Africa’s most attractive investment destination, followed closely by Mauritius in second place. Egypt ranked third, while South Africa secured fourth position.

Reacting to the report, the Lesotho Chamber of Commerce and Industry (LCCI) described the ranking as a moment for reflection, emphasizing the need to examine the country’s business and policy landscape, which continues to hinder investment growth.

In an interview, an LCCI representative noted that a country’s ability to attract investors depends largely on the presence of progressive and adaptable policies that align with modern business practices.

He added that the ranking should not necessarily be viewed as a reflection of Lesotho’s failure to attract investment, but rather as an indication of national priorities that may differ from the criteria used in the assessment.