The 2026 Economic Report highlights accession to ASEAN as a growth opportunity for Timor-Leste
The Ministry of Foreign Affairs and Cooperation (MNEC), in partnership with the World Bank Group, co-hosted the launch of the Timor-Leste Economic Report 2026, the World Bank’s flagship biannual publication on the country’s economic development, on 16 April 2026 at the Salão Nobre, MNEC.
The World Bank’s flagship biannual report, titled “Leveling Up: How ASEAN Membership Can Support Timor-Leste’s Economic Transformation,” highlights opportunities from Timor-Leste’s accession to ASEAN, particularly in expanding market access, strengthening investor confidence, and deepening regional economic integration.
Mr. David Freedman, World Bank Group Resident Representative, noted improved economic performance since 2023, supported by sustained growth, increased tourism, improved domestic revenue, and continued macroeconomic stability underpinned by the Petroleum Fund. These positive trends reinforce Timor-Leste’s potential as an emerging investment destination in the region.
Excellency Francisco Kalbuadi Lay, Vice Prime Minister, Coordinating Minister for Economic Affairs, and Minister for Tourism and the Environment, reaffirmed the Government’s strong commitment to inclusive and resilient growth focused on job creation, poverty reduction and improved social services. He underscored that, in close collaboration with national and international partners, the Government will persist in advancing policies and reforms aimed at fostering long-term prosperity, stability, and inclusive growth for Timor-Leste.
On the same occasion, Excellency Bendito dos Santos Freitas, Minister of Foreign Affairs and Cooperation, emphasized the need for economic diversification and reforms, noting ASEAN accession as a strategic driver of competitiveness, investment, and institutional strengthening.
Discussions underscored that ASEAN membership provides a credible, rules-based framework to advance reforms, improve business climate, and attract investment. Speakers highlighted the importance of improving trade facilitation, streamlining regulatory processes, and strengthening institutions to attract quality investment and promote private sector-led growth.
Timor-Leste’s upcoming ASEAN Chairship in 2029 was highlighted as a key opportunity to showcase progress and strengthen its regional and global economic standing.
The report is available at:
https://documents1.worldbank.org/curated/en/099041526060539214/pdf/P513278-ea02d5d8-7374-4e21-ad36-681387f3df99.pdf
