Lesotho Interest Rate Spread
Interest rate spread (lending rate minus deposit rate) FR.INR.LNDP
Lesotho's interest rate spread was 9.31% in 2025, ranked 12th globally. This represents a 6.4% increase from 2024. Data from World Bank, covering 1980–2025.
Overview
Lesotho's interest rate spread stood at 9.31% in 2025, a rise of +0.56pp from 2024. Based on recent trends, this figure is projected to reach 9.31% by 2025. Lesotho ranked 12th globally.
Lesotho’s interest‑rate spread has widened markedly since the early 1980s, rising from 3.50% in 1980 to a peak of 12.20% in 2000 before falling to a trough of 3.03% in 1995, and then expanding again to 9.31% in 2025, placing the country 12th globally. The post‑2000 widening reflects persistent monetary‑policy constraints and higher risk premia in the domestic banking sector, while the brief contraction in the mid‑1990s coincided with a period of fiscal consolidation and lower inflation. Compared with peers, Lesotho’s spread exceeds Timor‑Leste’s 8.76% and Gambia’s 8.28%, yet remains below Angola’s 10.61% and Ukraine’s 11.36%, underscoring a moderate but notable risk differential within the sample of 43 years. If inflation expectations stabilize and financial‑sector reforms improve credit allocation, the spread could narrow, moderating the upward trajectory observed in recent years.
Data & projection
| Year | Interest Rate Spread | YoY change | Rank |
|---|---|---|---|
| 2027* trend | 10.40% | - | - |
| 2026* trend | 9.86% | - | - |
| 2025* trend | 9.31% | - | - |
| 2025 | 9.31% | +0.56pp | #12 |
| 2024 | 8.75% | +0.10pp | #66 |
| 2023 | 8.65% | +1.31pp | #74 |
| 2022 | 7.33% | +0.79pp | #65 |
| 2021 | 6.55% | −0.52pp | #67 |
| 2020 | 7.06% | −2.62pp | #71 |
| 2019 | 9.68% | −0.28pp | #89 |
| 2018 | 9.96% | −0.40pp | #94 |
| 2017 | 10.36% | −0.11pp | #105 |
| 2016 | 10.47% | +2.23pp | #108 |
| 2015 | 8.24% | +0.62pp | #94 |
| 2014 | 7.61% | +0.54pp | #91 |
| 2013 | 7.07% | −0.20pp | #85 |
| 2012 | 7.27% | −0.46pp | #83 |
| 2011 | 7.73% | +0.20pp | #82 |
Detected Pattern
Analysis
Lesotho matched the Export Boom Cycle pattern in 2024. Historically, 71% of countries showing this pattern (546 out of 768) saw interest rate spread improve within 24 months. View full analysis →
Frequently Asked Questions
Lesotho's interest rate spread was 9.31% in 2025. Ranked 12th globally. This represents a 6.4% increase from the previous year.
Lesotho's interest rate spread peaked at 12.20% in 2000.
The lowest interest rate spread in Lesotho was 3.03% in 1995.
Lesotho ranks 12th globally in interest rate spread as of 2025.
The World Bank indicator code is FR.INR.LNDP. Data sourced from World Bank.
Lesotho's interest rate spread is projected to reach 9.31% by 2025 based on trend extrapolation.
The interest rate spread of Lesotho in 2025 was 9.31%. This ranks 12th in the world.
Cite this page
@misc{historysaid_lesotho_interest-rate-spread,
title = {Lesotho Interest Rate Spread},
url = {https://historysaid.com/lesotho/interest-rate-spread/},
publisher = {HistorySaid},
year = {2026}
}