The Minister of Trade, Industry, Business Development and Tourism, Mr. Mokhethi Shelile says the Competitiveness and Financial Inclusion Project (CAFI) was successfully launched on 03 April 2023, and the project implementation has commenced in earnest.
Briefing members of the National Assembly on Tuesday, the Minister said the CAFI is a successor to the Private Sector Competitiveness and Economic Diversification Project (PSC Project) which closed in June 2022.
Mr. Shelile said the CAFI Project is financed by the World Bank and coordinated by the Ministry of Trade, Industry, Business Development and Tourism (MTIBOT).
“The project aims to increase access to business support services and financial products targeted at Micro Small Medium Entrepreneurs (MSMEs), especially women and youth,” he highlighted.
While the focus of the previous project was on attracting Foreign Direct Investment, he said the focus of the CAFI Project is more towards building the local private sector.
He said they consider the previous PSC Project to be a true success story, saying the project made significant strides in many areas of investment climate reforms and economic diversification in line with key performance areas of the National Strategic Development Plan (NSDP) II, enhancing inclusive and sustainable economic growth and private sector led job creation.
Mr. Shelile said the CAFI Project is therefore building on a solid foundation laid by the previous project, adding that this one is also fully aligned with the tenure of this House within which the Project is expected to deliver tangible results.
The project is already working with the Ministry of Information, Communication, Technology and Innovation and other key stakeholders in the following areas to improve service delivery thus; the upgrading of technology to enhance the functionality, sustainability, and interoperability of key Government-to-Business (G28) systems including business registration and licensing, construction permitting, land administration, trade facilitation (customs and national single window), and cross-border transport and transit operations” he added.
He also added that the project is also working with the Ministry of Agriculture, Food Security and Nutrition to expand commercial fruit farming initiative in order to establish a fully-fledged fruit industry in Lesotho in collaboration with key partners that include among others, the Ministry of Agriculture, Food Security and Nutrition; the India, Brazil and South Africa Fund for poverty and Hunger Alleviation (IBSA Fund) administered by the UNDP; Lesotho National Farmers Union (LENAFU); the National University of Lesotho (NUL); Stellenbosch University and other strategic partners.
The CAFI project is expected to run for five years and is funded by the World Bank and IBSA Fund.
Source: LENA 03/05/2023
