News Lesotho Finance: Lesotho's former finance minister sworn in as new prime minister
Moeketsi Majoro was sworn in as Lesotho's new prime minister on Wednesday, a day after his predecessor resigned under pressure over a scandal involving the killing of his wife. Majoro, who was ...
News Lesotho Finance: For Lesotho's textile workers, Trump's tariff damage is already done
STORY: Every morning, Matsoso Lepau queues at the gates of a garment factory in Lesotho's capital Maseru for a job that no longer exists.For three months, Lepau and other laid-off workers have gathered here after the imposition of U.S. tariffs led to the widespread cancelation of orders, followed by job losses and factory closures.“It doesn't sit well with me that we come here but our lives are tough, things are really difficult.”Lesotho's textile industry - which produces jeans and other garments for popular U.S. brands such as Levi's and Walmart - is its biggest private employer.But it was hit hard when U.S. President Donald Trump announced a 50% tariff on the Southern African kingdom's exports in April.And though he slashed that tariff to 15% last week, for many the damage was already done.Lepau says he's now lost his income of between $162 and $168 a month.He hopes that the lower tariff might mean he gets his job back."The buyers, have stopped, have canceled..."Analyst Thabo Qhesi has his doubts."So, it means the 15% didn't make the difference, you know, because the orders are not coming." Lesotho's textile industry employs around 40,000 people and accounts for roughly 90% of manufacturing exports, according to Oxford Economics.That makes it a key source of employment and foreign exchange for the poor, landlocked country.However, Lesotho's trade minister has raised concerns that the reduced 15% tariff rate does not go far enough - pointing to competition from Kenya and Eswatini, both of whom have 10% rates.
News Lesotho Finance: For Lesotho, 15% tariff down from 50% could still mean disaster
STORY: Donald Trump had threatened to impose a 50% tariff rate on tiny Lesotho - potentially decimating the textile industry on which the landlocked-mountainous kingdom depends.So you might think that last week's decision to significantly lower that rate to 15% would be met with a sigh of relief.Instead, Lesotho's trade minister warns it might still not be enough to avoid a disaster.“For me it’s still like 50% because our people in the garment industry will not compete."Mokhethi Shelile pointed to competition from Eswatini and Kenya, both of whom have lower U.S. tariff rates at 10%."... and they are, both are in the same market as us, and it would be quite easy for the buyers to switch their allegiance to these two countries and place orders in these two countries."The textile industry is Lesotho's biggest private employer and responsible for roughly 90% of manufacturing exports.It was also heavily dependent on the African Growth and Opportunities Act, or AGOA, which offered qualifying African nations duty-free access to the U.S. market.However, under the tariff threats, many U.S. importers have canceled orders of Lesotho-produced textiles.Shelile said there are close to 12,000 jobs directly in the firing line and another 40,000 that depend on those 12,000.At a market in Lesotho's capital Maseru, clothing vendor Hopolang Lebamang fears for his future.The knock-on effects of the tariffs will mean he has to inflate his prices, he says, and that will make them unaffordable for his clients.Lesotho's textile factories have in recent months indicated that they were searching for new markets.Shelile also said his government would continue to engage with the White House in the hope of having the tariff lowered.
News Lesotho Finance: Career Opportunities within the Revenue Services Lesotho
The RSL is searching for an experienced, passionate, energetic and resilient Lesotho citizen to occupy the position of Commissioner General ...
News Lesotho Finance: Lesotho’s project finance mini-grid
The EU-funded Electrification Financing Initiative and the UK-funded Energy Performance Platform and OnePower have reached financial close on Africa’s second largest, project finance mini-grid ...
