Maseru. April-09 Ties between Lesotho and the People’s Republic of China were strengthened during the signing of a protocol on waiving partial loans between the two countries.
The ceremony, held on Thursday, saw Finance and Development Planning Minister, Dr. Rets’elisitsoe Matlanyane, signing on behalf of the Lesotho government, while Ambassador of China to Lesotho, Yang Xiaokun, signed for his government.
In her address, Minister Matlanyane said the protocol entails China waiving two interest-free loans with a total disbursed amount of M214.466 million, which were due for repayment by the end of December 2024.
She explained that M119.805 million was allocated under the 2011 Economic and Technical Cooperation Agreement for the refurbishment of the Manthabiseng Convention Centre, while M95.804 million was allocated under the 2012 agreement for the JUNCAO Mushroom Cultivation Project.
Minister Matlanyane expressed delight for both the government and people of Lesotho, noting that the decision provides crucial relief to Lesotho’s public debt portfolio and will contribute positively to the country’s debt management and fiscal consolidation efforts.
Ambassador Xiaokun shared similar sentiments, stating that the waiver follows President Xi Jinping’s announcement that China would cancel intergovernmental interest-free loans due by the end of 2024 for least developed African countries with diplomatic ties to China.
He added that the signing is a testament to the consistent principles underpinning China’s cooperation with Africa. “We value the sovereignty and independent choices of African countries and never interfere in their internal affairs,” he said.
The Ambassador also highlighted that Chinese enterprises have created over 1.1 million jobs in Africa over the past three years.
Relations between Lesotho and China have spanned various sectors, including the construction of the State Library, the New Parliament Building, and the Maseru District Hospital among others.
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