CAFI Entrepreneurship Hub Launches Fifth Cycle to Empower Basotho Startups

The Competitiveness and Financial Inclusion Programme (CAFI) Entrepreneurship Hub and Seed Financing Facility has officially commenced its fifth cycle of the incubation programme, marking a significant step in supporting innovation and entrepreneurship in Lesotho. The six-month initiative began on Friday with 60 enterprises carefully selected for their innovative ideas and potential for growth during competitive pitch sessions held on 19 February 2026. The programme aims to equip these startups with the skills, knowledge, and financial tools needed to thrive in competitive markets. By bringing together promising entrepreneurs, CAFI provides a structured platform for collaboration, mentorship, and access to resources that are often inaccessible to early-stage businesses. The energy and optimism at the onboarding session reflected the growing entrepreneurial spirit and commitment to building sustainable enterprises across the country.

The selected startups stood out for their bold ideas and demonstrated growth potential, making them prime candidates for structured support through six dedicated Enterprise Support Organisations. These organisations are tasked with strengthening business capacity, guiding strategic planning, and improving operational sustainability. CAFI’s approach ensures that each entrepreneur receives tailored assistance to address the unique challenges of their business sector and stage of development. The programme also provides mentorship, training, and networking opportunities, allowing participants to learn from experienced business leaders and successful peers. By offering targeted support, CAFI fosters an environment where startups can innovate confidently and scale effectively.

Speaking at the onboarding session, CAFI Director of Implementation, ’Makali Nathane, described the initiative as a strategic intervention aimed at enhancing business development services and broadening access to finance, with particular emphasis on youth and women entrepreneurs. She highlighted that the programme is structured to support businesses throughout their entire lifecycle — from startup and growth to eventual exit. Nathane stressed that this comprehensive support equips entrepreneurs with the tools needed to navigate challenges at each stage of business development. By focusing on capacity building, financial literacy, and market integration, the programme empowers participants to make informed decisions and seize opportunities for growth. Her remarks reinforced CAFI’s commitment to creating a thriving entrepreneurial ecosystem that benefits the broader economy.

The programme also prioritises the development of a robust entrepreneurship ecosystem by enhancing skills, improving access to finance, and fostering integration with regional markets. By linking startups with financial institutions, mentorship networks, and market opportunities, CAFI ensures that participants are positioned for long-term competitiveness. Nathane emphasized that strengthening institutional support and connecting entrepreneurs to wider markets is essential for ensuring that local enterprises can compete effectively beyond domestic borders. The incubation process includes structured workshops, financial planning sessions, and market engagement strategies designed to build resilience and sustainability. These interventions collectively aim to position Basotho startups for lasting success and innovation.

The CAFI Entrepreneurship Hub and Seed Financing Facility continues to play a pivotal role in promoting innovation, financial inclusion, and sustainable business development. Each cycle of the incubation programme builds on prior successes, nurturing a new generation of Basotho entrepreneurs who are equipped to contribute meaningfully to the economy. Through mentorship, structured support, and access to finance, the programme strengthens both individual enterprises and the wider entrepreneurial ecosystem. By fostering innovation and enhancing competitiveness, CAFI helps ensure that local startups can grow, scale, and achieve long-term impact. The fifth cycle reaffirms the initiative’s role as a cornerstone for entrepreneurship development in Lesotho.