Government of Timor-Leste

The 2020 General State Budget (GSB) was presented, today, October 1^st, 2020,  to the National Parliament, by the Prime Minister, Taur Matan Ruak, marking the beginning of the discussion and voting on the 2020 General State Budget.

The 2020 GSB Law Proposal draft, has a total amount of US $ 1.497 billion, to cover the program and national priorities’ needs, as defined by the 8^th Constitutional Government, namely regarding the social sector’ and the private sector’ stabilization, and the ongoing institutional reform processes. The document also includes expenses related to the COVID-19’ response and the economic recovery measures.

Prime Minister, in his speech, began by remind that this presentation is made “in truly exceptional circumstances, after ten months of budget execution in a twelfth regime”, highlighting the “extensive and broad understanding” “which allowed to overcome the period of uncertainty and political impasse at the national level” caused by the “rejection of the second General State Budget Law Proposal", and which guaranteed “a new parliamentary majority, capable of leading the country until the end of the mandate, unblocking the government impasse which lasted since 2018 and completing all the members of the 8^th Constitutional Government, gathered in the mission of executing a consensual Government program, to achieve the goals and indicators, in accordance with the proposed objectives”.

The Head of Government expressed his belief that “this is a Resistance and Resilience Budget, and the programs, measures and responses presented here describe ten months of budget execution, which actively contributed to reducing the negative impacts caused by political impasse, natural disasters and COVID-19 crisis, in order to respond to the most urgent needs and to stabilize our society and economy, in a time of general economic recession and contraction worldwide”.

He also added that this is a “Budget of Hope for Recovery and Recovery” and is “a real opportunity not to return to the pre-crisis position, but to transform Timor-Leste into a more solid and inclusive country, in accordance with the National Strategic Development Plan and the Roadmap for Implementing the Sustainable Development Goals”.

Prime-Minister ended his speech by stating that the Government intends “a country with opportunities for all, a country of freedom, a country of choices, in which each citizen can happily build his life project”.

Budget allocations for the 2020 General State Budget are divided as follows, according to their economic classification:

• US $ 206,7 million, for Wages and Salaries;
• US $ 499,3 million, for Goods and Services;
• US $ 568,7 million, for Public Transfers;
• US $ 8.9 million, for Minor Capital;
• US $ 213.4 million, for Development Capital.

The Government submitted the 2020 General State Budget Law Proposal draft to the President of the National Parliament, Aniceto Guterres, on September 15^th, with a request for urgent consideration, which was accepted by the National Parliament, at the extraordinary plenary session of September  17^th.

The overall discussion and voting are expected to continue until tomorrow, and the detailed debate will start next Monday, ending on October 8^th, with the final global vote. The final wording should be sent to the President of the Republic on October 9^th.

Of the total amount of US $ 1.497 billion, 708.7 million corresponds to the total amount of the budget expected to be executed between November and December 2020, with the amount of 671.29 million corresponding to the total amount executed between January and 30 September 2020, and US $ 117.1 million corresponds to the total amount of the provisional budget allocations planned for October, under the duodecimal regime.