By Staff Reporter
Lesotho’s Millennium Challenge Account, Lesotho Authority II Bill, 2022 which was this week tabled for first reading in the National Assembly, is set to provide for domestication of the compact and Programme Implementation Agreement (PIA).
The Bill is meant for establishment of and accountable entity, a body corporate with responsibility delegated by the government of Lesotho to implement Compact Projects under the agreement.
“The accountable entity will have the authority to oversee the MCC funded projects, their components and activities, allocate resources, oversee and implement a financial plan, approve expenditures and procurements, continue the consultative process’s results, in accordance with the MCC requirement and policies.
“In recognising that MCC wishes to help Lesotho implement the programme described in the Compact and PIA in order to achieve the goal and objectives described therein (such as programme description and objectives as may be amended from time to time in accordance with the terms of the Compact).
“As a consequence, the Bill seeks to validate enforcement of the signed Compact and PIA dated 12 May, 2022 between the government of Lesotho and United States of America. It proposes annexing of both agreement to the Bill,” the Bill reads.
The Bill continues to show that the Millennium Challenge Account- Lesotho Authority II(MCA-L) will be prescribed as a body cooperate with powers to hold , purchase, acquire and dispose of any property, movable and immovable, to enter into such contracts including international agreements and may be necessary to insure against all normal commercial risks associated with the operations of Authority, from time to time.
The Bill provides that MCA_ Lesotho Authority will be governed and managed by the board of directors and operations unit in accordance with the Bill, the terms of its constitutive documents and internal regulations.
The board will be constituted by the government of Lesotho compact relevant ministries and private sector representatives selected from women, youth and disability groups to ensure inclusivity envisaged by the compact.
Furthermore, it provides more with relevant stakeholders, a stakeholders committee is proposed to provide an opportunity for civil society and private sector to receive regular updates on the programme from the accountable entity and to provide feedback and oversight for the implementation process, such as mechanism for ongoing consultations between the government and public throughout the implementation of the program.
The Bill further introduces the fiscal and procurement agents to be engaged by the MCA- Lesotho Authority on behalf of the government. Both are expected to be individual or firms with expertise in the financial management and reporting to serve as fiscal agent, and individual or firm with expertise in public procurement agency.
The U.S government’s Millennium Challenge Cooperation and the government of the Kingdom of Lesotho signed the M4.9 billon Lesotho health and horticulture compact last month. The signing marks the second time the United States and Lesotho have partnered to build sustainable and inclusive economic growth for Lesotho through MCC compact.
