BACKGROUND Tourism has been identified as a key strategic sector for the growth of the economy and upliftment of livelihoods in Lesotho. This focus on tourism is a recent development and owes to three special attributes of the sector. These being:
TOURISM DEVELOPMENT CORPORATION GROWTH POTENTIAL: Unlike most other major economic sectors in Lesotho, tourism is at an early stage of development and has a tremendous potential for growth.
DEVELOPMENT OF RURAL COMMUNITIES: Since tourism attractions and places of interest to tourists are spread over the country and are particularly found in rural areas, tourism has potential to “reach out” to rural communities and thus contribute to poverty reduction objectives of the government.
SPIN-OFF FACTOR: Growth in tourism can induce growth in many other sectors, and thus have a huge knock-on effect on the broader economy.
1.STRENGTHS Strengths of Lesotho both as tourist destination and tourism investment destination lie in her:
- SCENIC BEAUTY: Bestowed with enchanting mountains and by powerful rivers and crystal-clear streams, rich in endemic and unique species, Lesotho is one of the most pristine and unspoiled natural environments in the region.
- WATER TABLE OF SOUTHERN AFRICA: Lesotho’s land is almost 70% highlands with a massive coverage of wetlands, especially in northern and eastern highlands of the country where most of the river’s sources are located. The rivers that flow into South Africa and Namibia. The dams constructed under the Lesotho Highlands Water Project areas enhanced the scenery and experience of the central highlands of Lesotho. This created a vast opportunity for developing facilities meant to support the tourism industry within the area.
- UNIQUE HIGH ALTITUTE: Lesotho is known as the only country in Africa with the highest altitude and hence referred to as the Roof of Africa. With its distinct four seasons in a year, Lesotho has very cold winter months with high mountain ranges capped in snow, making us the home to skiing in Southern Africa. The unexpected high altitude in Southern Africa gives the traveler a unique opportunity for clean air, clear skies and tranquility that has remained a rich habitat for large bird life species and many visitors enjoy start gazing at night. TOURISM DEVELOPMENT CORPORATION AFRICAN WILDERNESS EXPERIENCE: Lesotho is an ideal destination for the discerning traveler and true adventurer – for those tired of commercial holidays and are looking for “something different”. Lesotho is a largely preserved African wilderness that offers tranquility, rich biodiversity and untouched landscapes that encourage hiking, mountaineering, ultra-trail running, abseil, rock climbing river rafting etc. for the young at heart and adrenalin adventure enthusiasts.
- PROXIMITY TO SOUTH AFRICA: Lesotho is surrounded by South Africa. This situation presents a significant opportunity for growth and development of tourism in Lesotho. South Africa is the biggest destination (in terms of number of visitors) in Sub-Saharan Africa, in this way, Lesotho has a unique opportunity to tap into the strength of its neighbor and position itself as an add-on destination for international tourists visiting South Africa. Moreover, South Africa is the biggest source of international travelers in Africa, thus Lesotho has a huge tourist source market on its “door step”.
- WELCOMING AND HOSPITABLE PEOPLE: People of Lesotho (Basotho) are renowned for their hospitability, warmth and friendliness. Thus, tourists are made to feel welcome and “at home” in Lesotho.
- CULTURE: Basotho have a rich and unique cultural and heritage, which is interesting and intriguing to visitors; and can actually be explored through our famous village tours and rural homestay accommodation. The most unique aspect is harmonious co-existence of four tribes within Lesotho that were brought together by King Moshoeshoe I to form the Basotho nation.
2. INVESTMENT OPPORTUNITIES: The above attributes give life to the following opportunities in Lesotho:
2.1 ACCOMMODATION FACILITIES: The country is under-supplied with accommodation facilities of appropriate standards particularly at key and strategic tourism nodes. Inadequate and improper accommodation is a major challenge posing our sector, hence a lost source of revenue from tourism in Lesotho. Droves of tourists from South Africa cross into Lesotho for the day, only to go back and sleepover in South Africa; yet there is a lot to explore and experience overnight. This therefore indicates a pressing need for the development of accommodation.
2.2 HEALTH AND WELLNESS RESORTS: Lesotho has a number of attributes that can be leveraged to position the country as a health and wellness destination. These are: ·High altitude Clean mountain air Abundance of naturally clean water Distinct seasons of the year Endemic medicinal plants Hot springs Exclusiveness Thus, health spars and wellness resorts are one other area with great potential which we will be promoting robustly.
2.3 WATER SPORTS AND OUTDOOR ADVENTURE CENTRES: Existing and prospective Lesotho Highlands Water Project (LHWP) dams pose a notable opportunity for initiating water-based sporting and recreational activities. The dams are suited to leisure cruise boats and extreme sporting events. Already the Corporation (LTDC) is operating a small cruise boat on one of the dams (Mohale dam). The existing Mohale and Katse dams present many un-numbered opportunities for further developments by private investors. We are eager to have these type of activity on both the Katse and Mohale dams. In addition to these two dams there are further developments in the pipeline, such as phase 2 of the LHWP project (Polihali dam) that is being constructed in the northern highlands of the country, in Mokhotlong district. Metolong dam (about 30kms from Maseru CBD) and Maqalika dam (in the periphery of Maseru CBD) are available for recreational activities and development of a mixed-use development. More similar dams in the lowlands meant to supply the lowlands water reservoirs are yet to be developed under the Lowlands Water Supply Programme which has already commenced.
2.4 HIGH ALTITUDE TRAINING FACILITIES: One major unique feature of the country is altitude. Lesotho is the only country in the world which lies entirely above 1000m above sea level. In fact, the lowest point in Lesotho is 1400m above sea level. Thus, Lesotho is an ideal location for high altitude sports training facilities. A high class, integrated facility is envisaged that would feature among other things:
- Out-door Adventure
- Indoor sports arenas
- Accommodation
- Wellness spar(s)
- Sports treatment/medi-centre
2.5 SPECIFIC PROJECTS Besides the broad sector opportunities highlighted in the foregoing paragraphs, there are a few specific investment projects that have been identified and promoted. These include:
2.5.1. PROJECT TITLE: Lodge Letsa-La-Letsie Eco Lodge:
Letsa-la-Letsie is a ramsar site located on the South eastern highlands of Lesotho at 30°20'S 028°12'E. The site covers about 434ha, though not protected but it has been designated as a component for conserving biodiversity. Approximately 110 bird species were recorded in this area, including the Wattles and Blue Cranes, the Lesser Kestrel, the Bald Ibis and bearded vulture and eagles. An investment site of approximately 5,000metres square has been earmarked in the periphery overlooking this Ramsar site. The area is popularly sought after by extreme 4x4 enthusiasts, bird watchers and hiking enthusiasts. The visiting tourists mostly come from Eastern Cape Province in South Africa, higher learning institutions who are studying the subjects related to Afro-alpine vegetation and/or bird species of interest, especially those that are considered endangered species; as well as international tourists seeking eco-touristic experiences. The highlands adjacent to the lake are high cliffs that have remained home for the endangered bearded vultures and eagles. It is home for more than three colonies with a minimum of 100 nests within each; there is also. Based on the topography and the biodiversity in the area within high altitude, clear skies, clean air, clean water and tranquility; the place is attractive for outdoor adventure seekers. Therefore, the numbers of tourist footprint in the area supports a small accommodation establishment that can support community beneficiation.
- INVESTMENT PROJECT COMPONENTS: An investment for development of an accommodation facility of a minimum of 2 Star grades: 6 self-catering chalets for 30 people Camping site with communal ablution block and Communal kitchen Craft market outlet and Community tourist information Centre
2.5.2. PROJECT TITLE : Sanitop Equestrian Village
STATUS OF THE PROJECT : Greenfield COLLABORATION SOUGHT: Private Sector Investment ESTIMATED CAPEX : $15 million PROJECT BACKGROUND: The proposed site at Sanitop is in the east of Lesotho in the Maluti Mountains southeast of the Senqu River Valley and falls within the Maluti - Drakensberg Transfrontier Project area. The Maluti mountain range is home to the highest peak in Southern Africa, Thabana Ntlenyana, which means ‘beautiful little mountain,’ and has an altitude of 3482 meters and the proposed location is near the start of a trail to the peak. The area is mountainous with the Sani River and its tributaries running through the low-lying areas where wetlands are scattered throughout. There are dramatic and panoramic views of the landscape.
INVESTMENT PROJECT COMPONENTS: Built an extremely adventure ski resort offering rustic accommodation (about 60 beds) that will go along with the environment, using mainly locally sourced raw materials. Some other ancillaries may be the following, to support full project profitability:
- Ski lifts and snow makers
- Suspension bridges
- Bird hides
- Picnic and camping grounds; etc.
- Horse racetrack with stables
2.5.3. PROJECT TITLE Park : Mohale Water
STATUS OF THE PROJECT: Brownfield
COLLABORATION SOUGHT: Private Sector Investment
ESTIMATED CAPEX: $ 2million
PROJECT BACKGROUND: The project is within one of the Lesotho Highlands Water Project (LHWP) dams – a concrete faced rock-filled dam. The dam falls under the Phase 1B of the series of dams and is located at 29°27ˈ24.20"S; 28°05ˈ45.18"E. The dam is 147meters (476ft) high with a length of 700 meters (2,300ft) and volume of 7,500,000m³.
INVESTMENT PROJECT COMPONENTS: There is need for development of a water leisure park, with cruise boat (200 people), community outdoor center and fly-fishing lodge at the area. This is one of the highly visited tourist attractions in Lesotho, and this is due to its proximity to Maseru CBD – the major city; as it is about 92kilometers from Maseru.
2.5.4. PROJECT TITLE : Katse Luxury Cruise boat (not studied)
STATUS OF THE PROJECT: Greenfield
COLLABORATION SOUGHT: Private Sector Investment
ESTIMATED CAPEX: ESTIMATED CAPEX $3 million :$300 million
PROJECT BACKGROUND: The project is within one of the Lesotho Highlands Water Project (LHWP) dams – a concrete arch dam on the Malibamatšo River – the second largest double-curvature arch dam after the Tekeze dam in Ethopia. The Katse dam is located below the confluence of the Bokong River, which forms the western arm of the Katse reservoir at 29°20ˈ13"S; 28°30ˈ22"E. The dam is 185meters (607ft) high with a length of 710 meters (2,329ft) and total capacity of 1,950km³.
INVESTMENT PROJECT COMPONENTS: A luxury cruise boat is to surf the Katse dam reservoir on a 50km long dam from Lejone to Katse dam wall and vise versa. The dam gives the traveler an experience of the scenic mountains at an altitude of 1,993 m above sea level. The dam offers many more opportunities for water-based adventure activities that can be done whilst ensuring minimal impact on the quality of the water fish life in the water. A medium to large passenger boat that will offer high end experience with a variety of amenities and services such as:
- Restaurants (fine dine and a-la-carte) and beverages
- Jacuzzis and an infinity pool
- Entertainment area
- Lounge
- Sunbathing deck Observation deck, etc.
An upmarket restaurants with waiting areas and flexible quality launch pad/jetty near Katse dam wall and Lejone camp.
2.5.5. PROJECT TITLE : Maletsunyane Gorge Adventure Precinct (not studied)
STATUS OF THE PROJECT: Greenfield
COLLABORATION SOUGHT: Private Investment
ESTIMATED CAPEX: $20 million.
Near the quaint village of Semonkong.
The attraction is in the heart of Lesotho’s central highlands, and it boosts with several extraordinary geological and natural landscapes that are concentrated with gorges, canyons, escarpments, valleys and vast highland plains. There are planned construction projects geared towards developing accommodation at and around this pristine location, hence the importance for additional investment in adventure activities as currently there is limited/no activities for tourists to partake during their visit.
INVESTMENT PROJECT COMPONENTS: Construction of adventure activities in a gorge that is 185m deep, a pool of clean water and Lesotho’s majestic single drop waterfall – ‘Maletsunyane Waterfall and a river flowing with clean water offering several water-based adventure activities can be explored. The most profitable ventures to explore are gorge elevators, lifts, suspension bridges, ziplines, cable cars, etc. along the iconic panoramic route.
UPCOMING INVESTMENT PROJECTS (not yet studied)
1. PROJECT TITLE : Lesotho National Convention Center Hotel
PROJECT BACKGROUND: The site size is around 58,847.11 sqm, and located at the heart of the capital city (Maseru); adjacent to the existing National Convention City (NCC). The area attracts mostly business and entertainment tourists (MICE) as it has conference halls, meeting rooms, indoor and outdoor events grounds, presidential lounges, restaurant, etc.
2. PROJECT TITLE : Polihali Mountain Resort
STATUS OF THE PROJECT: Greenfield
COLLABORATION SOUGHT: Private Sector Investment
ESTIMATED CAPEX: $1 million
PROJECT BACKGROUND: The Polihali Dam is a concrete-faced rock-fill dam under construction in Lesotho as part of the Lesotho Highlands Water Project (LHWP). It is located in the district of Mokhotlong, downstream of the confluence of the Khubelu and Senqu rivers. The dam’s height will be 145 meters, with capacity of 165 m³. The key features of the dam will be spillway, compensation outlet structure, and small hydropower station. The estimated project completion date is in 2028. Currently this part of Lesotho is the second highly visited attraction by international tourists.
3.PROJECT TITLE : Qiloane Game Reserve
STATUS OF THE PROJECT: Greenfield
COLLABORATION SOUGHT: Private Sector Investment
ESTIMATED CAPEX: $20 million
PROJECT BACKGROUND: The site is located in Maseru district, in the peri-urban area about 63kms from Maseru CBD. It is known for the wide fan of water flowing into pools below, some compare it to a bridal veil pouring over the rocks. One of the most beautiful places in the world with breathtaking views. The site size is 4,854,819sqm; and can be used for development of an upmarket game reserve in the mountainous clean air and clear waters of the kingdom in the sky.