Africa-Press – Lesotho. Lesotho’s gross domestic product growth has been revised to 2.1% in the fiscal year June 2021 through 2022, down from an estimate of 3.1% in March, the International Monetary Fund said late Friday.
The economy had contracted by 6% in the prior year, the IMF said. The economy is forecast to grow 2.7% in 2022-23 and by 1.4% on average thereafter, it said.
“The war in Ukraine has hindered food imports, exacerbating agricultural disruptions due to floods and the pandemic,” the IMF said.
Global price increases in food and fuel, which account for over half of consumer spending, are hurting the vulnerable, with inflation in the country expected to reach 6.8% in 2022-23, the IMF said.
In the first nine months of 2021-22, the current-account deficit widened despite a recovery in exports and remittances due to a drop in Southern African Customs Union transfers, the IMF said.
The current-account deficit is projected to be 7.4% of GDP in 2021-22, it said. Exports and remittances fell by 26% and 12%, respectively, and the goods and services trade deficit widened by 8% of GDP in 2020-21, it said.
For More News And Analysis About Lesotho Follow Africa-Press
