Kingdom of Lesotho : Agriculture Public Expenditure Review

Over 70 percent of Lesotho’s population live in rural areas and depend directly or indirectly on agriculture for their livelihood, and growth in the sector is crucial for poverty reduction. Despite the importance of growth in agriculture, productiv...

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Main Author: World Bank Group
Format: Report
Language:English
Published: World Bank, Washington, DC 2020
Subjects:
Online Access:http://documents.worldbank.org/curated/en/696511563446367867/Lesotho-Agriculture-Expenditure-Review
http://hdl.handle.net/10986/33140
id okr-10986-33140
recordtype oai_dc
spelling okr-10986-331402021-09-16T15:50:32Z Kingdom of Lesotho : Agriculture Public Expenditure Review World Bank Group AGRICULTURE PUBLIC EXPENDITURE POVERTY REDUCTION FOOD SECURITY AGRICULTURAL FINANCE BUDGET PROCESS PUBLIC SPENDING AGRICULTURAL PRODUCTIVITY LOCAL BUDGETS SUBSIDIES DROUGHT CLIMATE CHANGE Over 70 percent of Lesotho’s population live in rural areas and depend directly or indirectly on agriculture for their livelihood, and growth in the sector is crucial for poverty reduction. Despite the importance of growth in agriculture, productivity remains low and value addition activities in the sector are limited. Low investment in agriculture has left the sector vulnerable to adverse weather impacts and poorly equipped to adapt to climate change. Low agricultural output and productivity, poverty, and heavy reliance on food imports are closely intertwined with food and nutrition insecurity in Lesotho, which impose high costs on the country. Recognizing the agriculture sector’s importance for job creation and inclusive economic growth under a new growth path led by the private sector, the Government of Lesotho (GoL) selected agriculture as one of four productive sectors central in its new national strategic development plan (NSDP) II for 2018-19 to 2022-23, currently under development. To strengthen the alignment between objectives and the allocation of public expenditures to the sector, the GoL asked the Bank for support to agriculture public expenditure review (AgPER) as part of a larger GoL effort to strengthen public financial management. The report is structured as follows: chapter one gives introduction: why an agriculture public expenditure review for lesotho? Chapter two provides an overview of the agriculture sector in Lesotho, outlines some of its main challenges, and provides an overview of the main policy documents that guide investment in the sector. Chapter three describes the data and methodology used for the analysis of this AgPER and is particularly intended for technical staff who work with agricultural budgeting and expenditures. Chapter four is the main analytical chapter. It describes the budget cycle for allocation and reporting public expenditures to agriculture (PEA); looks at discrepancies between budgeted and executed amounts; assesses the nature of PEA between 2011 and 2017; discusses how Lesotho’s PEA align with its own policy objectives for the sector as well as with international commitments, especially under comprehensive Africa agriculture development program (CAADP); and seeks to understand if the public support to the sector is of a nature that may crowd out private investment. Chapter five summarizes the findings of the analysis and provides recommendations for how to strengthen effectiveness and quality of public expenditures to the agriculture sector. 2020-01-07T17:09:50Z 2020-01-07T17:09:50Z 2019-05-01 Report http://documents.worldbank.org/curated/en/696511563446367867/Lesotho-Agriculture-Expenditure-Review http://hdl.handle.net/10986/33140 English CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo World Bank World Bank, Washington, DC Economic & Sector Work Economic & Sector Work :: Public Expenditure Review Africa Lesotho
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
language English
topic AGRICULTURE PUBLIC EXPENDITURE
POVERTY REDUCTION
FOOD SECURITY
AGRICULTURAL FINANCE
BUDGET PROCESS
PUBLIC SPENDING
AGRICULTURAL PRODUCTIVITY
LOCAL BUDGETS
SUBSIDIES
DROUGHT
CLIMATE CHANGE
spellingShingle AGRICULTURE PUBLIC EXPENDITURE
POVERTY REDUCTION
FOOD SECURITY
AGRICULTURAL FINANCE
BUDGET PROCESS
PUBLIC SPENDING
AGRICULTURAL PRODUCTIVITY
LOCAL BUDGETS
SUBSIDIES
DROUGHT
CLIMATE CHANGE
World Bank Group
Kingdom of Lesotho : Agriculture Public Expenditure Review
geographic_facet Africa
Lesotho
description Over 70 percent of Lesotho’s population live in rural areas and depend directly or indirectly on agriculture for their livelihood, and growth in the sector is crucial for poverty reduction. Despite the importance of growth in agriculture, productivity remains low and value addition activities in the sector are limited. Low investment in agriculture has left the sector vulnerable to adverse weather impacts and poorly equipped to adapt to climate change. Low agricultural output and productivity, poverty, and heavy reliance on food imports are closely intertwined with food and nutrition insecurity in Lesotho, which impose high costs on the country. Recognizing the agriculture sector’s importance for job creation and inclusive economic growth under a new growth path led by the private sector, the Government of Lesotho (GoL) selected agriculture as one of four productive sectors central in its new national strategic development plan (NSDP) II for 2018-19 to 2022-23, currently under development. To strengthen the alignment between objectives and the allocation of public expenditures to the sector, the GoL asked the Bank for support to agriculture public expenditure review (AgPER) as part of a larger GoL effort to strengthen public financial management. The report is structured as follows: chapter one gives introduction: why an agriculture public expenditure review for lesotho? Chapter two provides an overview of the agriculture sector in Lesotho, outlines some of its main challenges, and provides an overview of the main policy documents that guide investment in the sector. Chapter three describes the data and methodology used for the analysis of this AgPER and is particularly intended for technical staff who work with agricultural budgeting and expenditures. Chapter four is the main analytical chapter. It describes the budget cycle for allocation and reporting public expenditures to agriculture (PEA); looks at discrepancies between budgeted and executed amounts; assesses the nature of PEA between 2011 and 2017; discusses how Lesotho’s PEA align with its own policy objectives for the sector as well as with international commitments, especially under comprehensive Africa agriculture development program (CAADP); and seeks to understand if the public support to the sector is of a nature that may crowd out private investment. Chapter five summarizes the findings of the analysis and provides recommendations for how to strengthen effectiveness and quality of public expenditures to the agriculture sector.
format Report
author World Bank Group
author_facet World Bank Group
author_sort World Bank Group
title Kingdom of Lesotho : Agriculture Public Expenditure Review
title_short Kingdom of Lesotho : Agriculture Public Expenditure Review
title_full Kingdom of Lesotho : Agriculture Public Expenditure Review
title_fullStr Kingdom of Lesotho : Agriculture Public Expenditure Review
title_full_unstemmed Kingdom of Lesotho : Agriculture Public Expenditure Review
title_sort kingdom of lesotho : agriculture public expenditure review
publisher World Bank, Washington, DC
publishDate 2020
url http://documents.worldbank.org/curated/en/696511563446367867/Lesotho-Agriculture-Expenditure-Review
http://hdl.handle.net/10986/33140
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