Mohale FM The Millennium Challenge Account Lesotho II delegation has convened a meeting with Heads of Departments to announce the official closure plan of the horticulture project site at Phamong in Mohale’s Hoek.
Speaking during the meeting, MCA Resettlement Specialist under the Environmental and Social Performance Division, Maleshoane Ntsika, explained that the United States Government Foreign Aid Assessment Review process, which began in January 2024 and concluded in April 2025, resulted in the decision to cut foreign aid to Lesotho.
She noted that this development led to the termination of contracts for some healthcare workers. Ms Ntsika stated that the compact comprised four poverty alleviation projects aimed at promoting economic growth.
These included Health Systems Strengthening, Business Environment and Technical Assistance, Market Driven Irrigated Horticulture, and the American Catalyst Facility Development Project.
The initiatives were earmarked for implementation in Mohale’s Hoek and Leribe districts. She further indicated that government has expressed interest in continuing with the horticulture project and is currently seeking funding, as the initiative is capital intensive.
A proposed budget has been submitted to the Ministry of Finance and Development Planning. However, she emphasised that it remains unclear how implementation will proceed.
Meanwhile, District Administrator Moleboheng Lebele expressed concern over the closure of the compact, noting that the project would have significantly contributed to job creation. She voiced hope that alternative funding mechanisms would be secured.
