Project Overview
The Government of Lesotho, through the Department of Environment under the Ministry of Environment and Forestry, is implementing the project “Integration of Natural Capital Accounting (NCA) into Lesotho’s Policy and Decision-Making for Sustainable Development.” The project is funded by the Global Environment Facility (GEF) and implemented by the United Nations Environment Programme (UNEP).
Natural Capital Accounting (NCA) is an internationally recognized approach that measures and values natural resources and ecosystem services, ensuring that nature’s contribution to economic development is considered in planning, policy formulation, and decision-making.
Project Rationale
Lesotho’s economy and livelihoods depend heavily on natural resources, particularly water, land, rangelands, biodiversity, and ecosystems. However, environmental degradation, soil erosion, declining ecosystem health, and climate change threaten the sustainability of these resources.
Project Goal
To strengthen the integration of natural capital into national planning and decision-making processes through the development and application of Natural Capital Accounts for improved environmental management and sustainable development.
Project Objectives
- Strengthen institutional and technical capacity for Natural Capital Accounting in Lesotho.
- Develop and apply Natural Capital Accounts for land and water resources.
- Mainstream natural capital information into integrated watershed management and policy processes.
- Promote awareness, knowledge sharing, and stakeholder engagement on Natural Capital Accounting.
Pilot Area
The project focuses on the Upper Senqu Catchment (USC), with pilot activities in Khubelu and Senqunyane sub-catchments.
Key Project Components
- Institutional Capacity Building
- Development of Natural Capital Accounts
- Outreach and Knowledge Management
- Monitoring and Evaluation
Key Partners
- Bureau of Statistics
- Department of Water Affairs
- Department of Range Resources
- Department of Soil and Water Conservation
- Ministry of Finance and Development Planning
- National University of Lesotho
- UNEP
Expected Outcomes
- Nationally coordinated NCA system established.
- Water and land accounts developed and applied in decision-making
- Improved integration of environmental information into policies and planning
- Enhanced institutional capacity
- Increased public awareness on the value of natural capital

