Lesotho witnessed poverty reduction prior to the Coronavirus (COVID-19) pandemic and the subsequent shocks, but the pace was slow, and poverty remained widespread. The World Bank Group (WBG)'s partnership with Lesotho is fully aligned with the country's development vision articulated in the second National Strategic Development (NSDP II) and key findings of its 2021 Mid-Term Review. The overall objective of the proposed CPF FY2023-2027 is to support Lesotho in building a sustainable and resilient economy in a post-COVID environment by promoting a private sector driven, export-oriented economy for job creation supported by an enabling, efficient and effective public sector. The CPF consists of three high-level outcomes (HLOs) -increased employment in the private sector, improved human capital outcomes and improved climate resilience with seven objectives under the HLOs. There are two foundational themes (governance and government capacity, and macroeconomic and fiscal sustainability) and three approaches (gender, digitalization, and lagging-region approach) that cut across the CPF. The CPF is scheduled to be finalized with the new government by early 2023.