The European Union (EU) and the Government of Lesotho are set to launch a comprehensive five-day training course on “Strengthening Fiscal Discipline” among key stakeholders in the country. The workshop aims to equip Lesotho Government planners and other senior officials on best practices to strengthen fiscal discipline, enhance debt sustainability, reduce non-essential expenditures, and increase Government revenues.

Marking a significant milestone in the ongoing partnership between the EU and Lesotho, the workshop aligns with one of the broader objectives of the EU cooperation with Lesotho, namely to advance Public Financial Management (PFM) reforms and promote sustainable economic development. Other ongoing actions include support to the Ministry of Finance and Development Planning in its Public Expenditure and Financial Accountability (PEFA) self-assessment and in the formulation of the related Strategic Programme to improve PFM outcomes.

The workshop will bring together various stakeholders from Lesotho and Europe to share best practices, discuss challenges, and develop strategies for improved financial governance. Participants will benefit from the expertise of the Dutch Ministry of Finance as well as the Ministry of Finance at the Federation Wallonie-Bruxelles, Belgium, particularly in overcoming economic challenges similar to those faced by Lesotho. The experts will also share practical experiences of “Dutch Disease” — a phenomenon that occurs when a country’s economic boom leads to negative impacts on other sectors and strategies that were adopted to get the Dutch economy on a sustainable path.

Part of the EU-supported Lesotho/EU Cooperation Facility (CF) Technical Assistance (TA) Project, it will provide tailor-made training modules that adapt best practices on cultivating fiscal discipline to the specific context of Lesotho. The training will include lesson plans, specified learning outcomes, and extensive training materials designed to strengthen Lesotho’s budgetary and financial management frameworks, particularly in relation to the country’s Medium-Term Fiscal Framework (MTFF), Medium-Term Budget Framework (MTBF), and Medium-Term Expenditure Framework (MTEF). The training will integrate, gender and youth, climate risks and other vulnerability factors.

By the end of the workshop, the newly developed training modules will be integrated into the training curricula of the Lesotho Institute of Public Administration and Management (LIPAM), ensuring long-term sustainability and continued capacity building in fiscal management for Government officials and other stakeholders.

The training has been made possible through funding from the European Union, including the EU’s Technical Assistance and Information Exchange Instrument (TAIEX).

The EU and the Government of Lesotho look forward to an inspiring and productive week of knowledge exchange and practical learning, setting the stage for a more disciplined and resilient financial future for Lesotho.

About the EU

The European Union is an economic and political union of 27 European countries [1]. It is founded on the values of respect for human dignity, freedom, democracy, equality, the rule of law and respect for human rights, including the rights of persons belonging to minorities. It acts globally to promote sustainable development of societies, environment, and economies, so that everyone can benefit. It has been a partner of Lesotho since 1976.

About TAIEX

TAIEX is the Technical Assistance and Information Exchange instrument of the European Commission. TAIEX supports public administrations with regard to the approximation, application and enforcement of EU legislation as well as facilitating the sharing of EU best practices. It is largely needs-driven and delivers appropriate tailor-made expertise to address issues at short notice.

For more information about TAIEX, please visit the TAIEX website on https://neighbourhood-enlargement.ec.europa.eu/funding-and-technical-assistance/taiex_en

[1] Austria, Belgium, Bulgaria, Croatia, Republic of Cyprus, Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Ireland, Italy, Latvia, Lithuania, Luxembourg, Malta, Netherlands, Poland, Portugal, Romania, Slovakia, Slovenia, Spain and Sweden.