Lesotho government allocates M50 million for Royal Palace
The Senate's Committee on Government Assurances reports on the stalled M355 million palace project and overpayments.
The Lesotho government has allocated M50 million to restart construction of the new Royal Palace in Maseru. This project, initiated in 2011, has faced delays and cost overruns, now standing at M355 million.
A Senate Committee on Government Assurances report, based on the Auditor-General’s May 2025 audit, revealed overpayments exceeding M74 million to consultants and contractors. The Ministry of Public Works and Transport has developed a new procurement strategy to prevent future issues.
The ministry is preparing to resume construction soon, assuring the committee that corrective measures are in place. The initial project cost was M136.7 million, with completion expected in May 2013.
Why it mattersLesotho taxpayers will fund the resumption of the Royal Palace construction, which has already incurred significant costs and overpayments.