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Washington Halts $300 Million Lesotho Development Project Amid Aid Suspension

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The United States has moved to shut down the Millennium Challenge Corporation’s (MCC) $300 million Lesotho Health and Horticulture Compact, a project aimed at benefiting approximately 2.5 million people over the next 20 years. The compact included initiatives to improve primary healthcare, enhance food production, and support small businesses, particularly those owned by women and youth. Internal communications indicate that the project is being closed, though official statements from the Lesotho government remain pending. Contractors have been instructed to prepare for shutdown, and employees are returning company equipment. The abrupt cessation of this development initiative raises concerns about the future of these projects and the broader impact on the communities they were designed to serve.

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