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Lesotho - Systematic country diagnostic (English)

Lesotho is one of the poorest and most unequal countries in the world. It is a small, mostly mountainous, and largely rural country of about 2 million people, completely surrounded by South Africa. The persistence of poverty and rising inequality are striking for an economy that grew at annual rates of 4 percent per capita over the past decade. Redefining the role of the state will be critical for meeting the twin goals through boosting inclusive growth and avoiding macroeconomic and social risks. In this context, this Systematic Country Diagnostic (SCD) is intended to assess development challenges and identify priorities for rapid progress in achieving the objectives of: (i) eliminating extreme poverty on a sustainable basis and (ii) ensuring shared prosperity by improving the welfare of Lesotho’s poorer citizens. The report analyzes the opportunities and challenges in meeting these objectives, focusing on growth, inclusiveness, and sustainability. The SCD concludes by prioritizing the key challenges. Lesotho has an opportunity to eradicate extreme poverty and boost shared prosperity in coming years. It will require shifting to a growth model led by an export-oriented private sector, fortified by higher skilled, more productive, and more entrepreneurial individuals, households, and firms. Lesotho cannot realize this new growth model without redefining the role of the state. For this new model to develop, strong political consensus is necessary to push the difficult reforms needed.


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    Systematic Country Diagnostic

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    Lesotho - Systematic country diagnostic

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    Travel and Tourism Competitiveness Index;small and medium size enterprise;modernization of the public sector;Growth and Opportunity Act;access to reproductive health services;information and communication technology;Soil and Water Conservation;marginal productivity of labor;quality of public spending;access to basic service;access to transport service;Acquired Immune Deficiency Syndrome;access to health facility;vulnerability to natural disasters;social point of view;effectiveness of public spending;Incremental Capital-Output Ratio;Environment and Natural Resources;access to financial service;composition of public spending;increase in income inequality;competitive private sector;Access to Electricity;social protection system;formal financial institution;source income;source of income;domestic private sector;distribution of household;Poverty & Inequality;international poverty line;coefficient of variation;headcount poverty rate;human resource management;labor market need;maternal mortality ratio;competitive business environment;per capita consumption;exchange rate peg;maternal mortality rate;Exchange Rates;primary completion rate;distribution of population;impact of disease;primary education quality;nominal exchange rate;incidence of disease;improving health care;high unemployment rate;south african rand;gross national income;Transport and ICT;finance and markets;risky sexual behavior;births per woman;cost of import;hiv prevalence rate;accessing health care;total factor productivity;health and nutrition;remote rural area;regional comparative advantages;improvements in health;regional value chain;trade and investment;Social Safety Nets;characteristics of migrant;cost of capital;sustainable poverty reduction;low income group;reverse environmental degradation;human resource base;access to land;Exchange rate policies;exchange rate policy;Employment and Growth;public investment management;labor force growth;depth of poverty;Demand For Education;public sector institution;Human Immunodeficiency Virus;adult prevalence rate;decline in remittance;wages and salary;service delivery institution;real exchange rate;elasticity of poverty;lack of equipment;education and health;human development outcome;quality of education;formal labor market;extreme poverty;Macroeconomic Stability;political stability;government spending;relative price;



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Lesotho - Systematic country diagnostic (English). Washington, D.C. : World Bank Group.