Economy of Lesotho Lesotho Highlands Water Project (LHWP), which was initiated in 1986. The LHWP is designed to capture, store, and transfer water from the Orange River system and send it to South Africa's Free State and greater Johannesburg area, which features a large concentration of South African industry, population and agriculture. At the completion of the project, Lesotho should be almost completely self-sufficient in the production of electricity and also gain income from the sale of electricity to South Africa. The World Bank, African Development Bank, European Investment Bank, and many other bilateral donors are financing the project. Diamonds are produced in
Geography of Lesotho and stone garlands can be found across the higher portions of the Lesotho Highlands. These features were formed in connection to the periglacial conditions that prevailed during the last glacial period in the area. Lesotho is divided into 10 administrative districts, each with its own capital, called a camptown. The districts are further subdivided into 80 constituencies, which consist of 129 local community councils. Districts (in alphabetical order): Because of its altitude, the country remains cooler throughout the year than most other regions at the same latitude. Lesotho has a temperate climate, with hot summers and cold winters. Maseru and