US President Donald Trump has cut aid to Lesotho, a country “nobody has ever heard of”. But US companies, including Elon Musk’s Starlink, are keen to do business there.
- Donald Trump told the US Congress on Tuesday that Lesotho is a country “nobody has ever heard of”.
- But his colleague Elon Musk, head of the Department of Government Efficiency, has applied for a licence there.
- The Lesotho Communications Authority (LCA) is currently consulting the public on whether Starlink Lesotho Pty Ltd should be granted a licence to operate.
- Lesotho’s Minister of Foreign Affairs Lejone Mpotjoane says he is “disappointed to be referred to in such a manner by a head of state”.
- Lesotho is one of sub-Saharan Africa’s largest garment exporters to the US.
US President Donald Trump says nobody has ever heard of Lesotho. But his colleague Elon Musk, head of the new Department of Government Efficiency, is currently seeking a licence to provide internet services in Lesotho.
Addressing a joint session of Congress on Tuesday, Trump announced, “We will be ending the flagrant wasting of taxpayers’ dollars and to that end, I have created a brand-new Department of Government Efficiency, DOGE — perhaps you’ve heard of it — which is headed by Elon Musk, who is in the gallery tonight.”
Musk stood up from the gallery, waving and receiving applause. “Thank you, Elon, you have worked very hard,” Trump said, adding: “Just listen to some of the appalling waste we have already identified”.
Trump then listed various foreign aid initiatives, including “$8 million to promote LGBTQI+ rights in the African nation of Lesotho, which nobody has ever heard of.”
Meanwhile, the Lesotho Communications Authority (LCA) is currently consulting the public on whether Starlink Lesotho Pty Ltd should be granted a licence to operate in the country.
According to application documents seen by GroundUp, the application was submitted on 24 January 2025, by Micaela Pawlak, whose LinkedIn profile lists her as Starlink’s market access manager at SpaceX, which is owned by Musk.
Registered in Lesotho on 17 April 2024, Starlink Lesotho’s 1,000 shares are held by Starlink Holdings Netherlands B.V. The company’s two directors, Lauren Ashley Dreyer and Richard Jinu Lee, are both based in the United States.
In a letter dated 18 April 2024, Lee confirmed SpaceX’s economic support for Starlink Lesotho. “SpaceX intends to provide economic support to Starlink Lesotho once the entity has been established and while it demonstrates its ability to become a profitable stand-alone entity,” he wrote.
Last month, the LCA issued a public notice confirming receipt of Starlink Lesotho’s application for a Network Services Licence. If approved, the license would be valid for ten years. The LCA has invited comments in writing.
In its application, Starlink highlighted its potential to advance Lesotho’s connectivity goals. “With Starlink, SpaceX can provide connectivity that reduces infrastructure investment and complements traditional internet service providers,” it stated.
“Since receiving authorisation, SpaceX has deployed over 7,000 satellites and is already providing reliable, low-latency, high-speed broadband services in multiple markets across Europe, the Americas, Africa, Asia, and Oceania. Many additional markets are targeted for service introduction in 2025 and beyond,” the company said.
US companies doing business in Lesotho
Starlink isn’t the only American company eyeing opportunities in the country Trump claims “nobody has ever heard of”. The American hotel chain Marriott is building its first hotel in Maseru.
Additionally, One Thousand & One Voices, a US-based private family capital fund, has made significant investments in Lesotho’s agribusiness sector. In 2017, the fund acquired a controlling stake in SanLei, a trout producer and processor headquartered in Lesotho, though it withdrew from the company last year. The fund says it has also invested in the Lesotho-based Rosehip Company.
Lesotho has made use of the African Growth and Opportunity Act (AGOA) to become a leading exporter of garments to major US brands, including Foot Locker, Gap, Levi Strauss, Timberland, and Walmart. As a result, Lesotho has emerged as one of the largest sub-Saharan African exporter of garments to the US.
The United States established its embassy in Lesotho in 1966, the same year the country gained independence from the United Kingdom. The two countries have maintained diplomatic relations for nearly 59 years.
Lesotho appears to be taking a measured diplomatic approach in response to Trump’s comments. Speaking to GroundUp, Minister of Foreign Affairs Lejone Mpotjoane acknowledged the US’s right to cut aid to Lesotho. “The funding came through negotiations and agreements. If the US decides to terminate those agreements, there is nothing we can do but accept it,” he said.
“Taking measures [against the US] could drag us into disputes with someone who deliberately wants to drag us into the mud.”
“We have seen his approach to international issues and how he addresses other countries,” Mpotjoane continued. “Just recently, he was asking how much it would cost to buy Greenland. So, taking any steps now could be a waste of time for us.
“For him to speak that way about Lesotho is quite unfortunate. We are disappointed to be referred to in such a manner by a head of state,” he added.
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