Conclusions and recommendations

Lesotho has done far better than most other LDCs in attracting FDI, and is unique among African LDCs in attracting predominantly export-oriented FDI. Apparel TNCs have generated significant employment and foreign exchange; they have also created industrial and exporting skills that, though narrow in scope, could provide a base for longer-term FDI and industrial development. There is also a trickle of South African FDI relocating labourintensive processes, and this offers good prospects for long-term growth. There is little resource-based FDI,but it should be able to attract investors in the foreseeable future.

Sustainable Development Goals:

Decent Work and Economic Growth

Industry, Innovation and Infrastructure