Lesotho's Prime Minister Unveils Bold Initiatives to Combat Unemployment

Strategic Insights -

Lesotho's Prime Minister Sam Matekane has introduced a comprehensive plan to reduce unemployment in the country, particularly among young people. The government aims to create opportunities for job seekers by lowering taxes, reducing the retirement age in the public service, and allocating funds to the Youth Development Fund. According to Matekane, these measures will help combat unemployment, which affects 50 percent of the population, with youths making up less than half of this number.

Key Takeaways:

  • The government plans to lower taxes to make it easier for businesses to hire more youths.
  • The retirement age in the public service will be reduced to 50 years, creating space for younger job seekers.
  • Two percent of ministries' annual budgets will be allocated to the Youth Development Fund to support youth initiatives.
  • The government will employ 6,000 young people, including 3,000 in rural road construction, and an additional 8,350 will be hired quarterly for waste management.
  • 1,220 people will be hired for a climate resilience tree-planting program, and 3,066 jobs will be created in the energy sector, with 2,700 Basotho employed for electricity connectivity projects.
  • Agriculture will benefit from the government's support for the purchase of 200 tractors and related equipment, providing jobs for at least 200 Basotho.
  • There will be 3,160 long-term positions for skilled workers and 10,800 temporary jobs across sectors.
  • The Sebabatso program, which has already assisted 1,077 young people, will continue to receive government backing, and the National Volunteer Corps will take on 2,500 volunteers who will receive incentives.
  • The Pathways to Sustainable Livelihoods Project (PSLP) is helping Basotho start businesses, with 2,500 beneficiaries so far, 40 percent of whom are youth.
  • Currently, 950 young people are being supported to start their own businesses, and 663 have been employed through the school feeding scheme.

Statistics:

  • 50 percent of the population in Lesotho is currently unemployed, with youths making up less than half of this number.
  • 38.9 percent of youth in Lesotho are unemployed, with young women bearing the brunt at 41 percent, according to Minister of Finance and Development Planning Dr. Retselisitsoe Matlanyane.
  • The government plans to create approximately 60,000 jobs across various sectors, with positions becoming available as early as July.
  • The employment opportunities will be distributed throughout Lesotho's ten districts.

Sources:

  • Sam Matekane, Prime Minister of Lesotho
  • Dr. Retselisitsoe Matlanyane, Minister of Finance and Development Planning of Lesotho
  • Bureau of Statistics
  • Lesotho Labour Force Survey 2024