This Country Status report provides an analysis of the education sector in Lesotho up to 2003/04 (and, on some dimensions, up to 2004/05), specifically, a diagnostic in orientation, which aims to assist in building a shared understanding of the education sector. The report is focused mainly on the primary and secondary sub-sectors, which constitute the bulk of the system. Within these sub-sectors, the emphasis is on those aspects most relevant in the Poverty Reduction Strategy Paper (PRSP) context; cost, finance, and service delivery, and, their impact on schooling outcomes, especially among the poor, orphans, and other disadvantaged population. Despite progress, as outlined in the report, serious challenges remain in coverage, student flow, quality, and equity. It is specified Government spending on education is extremely high by international standards, at 12 percent of GDP (compared to the world average of 4percent). This figure includes all allocations to the Ministry of Education and Training (MOET), and the bursaries under the National Manpower Development Secretariat. However Lesotho does not seem to be getting good value for this expenditure, as indicated by the challenges of coverage, or "reaching the hard to reach"; the challenge of quality - education is of little value unless the quality is sufficient to ensure real learning; and, the challenge of equality: Lesotho is one of the few countries where girls' participation is higher than boys'. But there remain significant inequalities in other areas. Rural and poor families have lower participation in education, aggravated by regional disparities. This Country Status Report aims to help Lesotho meet these challenges. As a report, it has a number of noteworthy features. It goes beyond the basic indicators of enrollment and retention that are used in monitoring systems, and, offers a deeper insight into how the system is performing. In doing this it follows a structure developed by the Bank which allows easy comparisons between countries. It is based primarily on existing data, mostly from ministry sources, and from the household data surveys. Dissemination of this report, and the subsequent development of an education financing model to simulate various policy tradeoffs and fiscal implications, will support the Ministry's effort to develop annual work plans, linked with its annual budget.
