Private sector has no confidence in budget

MASERU – THE private sector says it is not confident that the budget next week will address their challenges. This, business leaders say, is because they were not consulted when the budget was drafted. “It is ridiculous that we are not consulted in the preparation of the budget,” said Fako Hakane, the secretary-general of the Lesotho Chamber of Commerce and Industry (LCCI). “As a result, we are not expecting it to address any of the challenges that we face as businesses in this country.” Hakane said previous budgets have shown that the government doesn’t have policies to stimulate private sector growth and create jobs. He said had they been consulted they would have expressed the concern with the parliament’s failure to make laws and push for policies that drive economic growth. “We talk of a private sector-led economy yet parliamentarians are failing to do their jobs which is to make laws,” he said. “They are busy with councillor’s jobs building bridges, roads and burying people while neglecting their own jobs.” The chief executive of the Private Sector Foundation of Lesotho (PSFL), Thabo Qhesi, said the budget should help the business sector recover from the ravages of the Covid-19 pandemic. “Many businesses have closed because owners are unable to afford stock to get back in business,” Qhesi said. “We need the minister to give businesses a stimulus package to address cash flow problems,” he said. Motseki Nkeane, Chairman of the Lesotho Liquor and Restaurant Owners Association (LLROA), said they are not expecting to hear government plans on introducing any new taxes to be collected from businesses until the economy has recovered. “What we need to hear is how businesses are going to be assisted to get back on the horseback, not how much or how new taxes can be collected from the remaining few businesses which are also struggling to make ends meet,” Nkeane said.