The election, originally due to be held by May 2017, has been brought forward (probably to 2015) in an effort to resolve the ongoing political crisis within the ruling coalition, headed by the prime minister, Thomas Thabane.
The Economist Intelligence Unit forecasts that real GDP will average 5.2% a year in 2015-16, supported by work related to the construction of the second phase of the Lesotho Highlands Water Project (LHWPII).
Annual consumer price inflation will ease to an average of 5.3% in 2015-16, helped by lower global oil prices and weaker inflation in South Africa, the source of most of Lesotho's imports.

Summary 7

Basic data 8

Political structure 9

Economic structure 10

Annual indicators 10

Quarterly indicators 11

Comparative economic indicators 12

Outlook for 2015-16 13

Political outlook 13

Economic policy outlook 14

Economic forecast 16

Recent analysis 19

Politics 19

Economy 24

International assumptions summary 16

Forecast summary 18

Gross domestic product 18

Consumer price inflation 18

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