Government of Timor-Leste

Presidency of the Council of Ministers

Sixth Constitutional Government

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Dili, April 21^st, 2015

Press Release

Extraordinary Meeting of the Council of Ministers from April 21^st 2015

The Council of Ministers met extraordinarily this Tuesday, April 21^th, 2015, in the Council of Ministers’ meeting room, at the Government Palace in Díli, and approved four diplomas and examined a presentation:

• 1. Decree Law approving the National System of Payments

This diploma determines the obligation of the Central Bank of Timor-Leste (BCTL) to establish, regulate and supervise the National System of Payments (SNP) as a whole, with the objective of promoting its efficiency and security, as well as limiting the risks, in particular systemic, and promote transparency and the protection of clients. It also defines the competences and powers of BCTL to regulate and supervise the system of national payments, while establishing at the same time a system for authorization of providers of payment services. Additionally, it regulates the settlement, clearing and definitive character of payments, as well as electronic payments and electronic currency.

• 2. Second amendment to the Law on Electoral Administration Bodies

The Fifth Constitutional Government approved a Proposal of Law on this issue in the meeting of the Council of Ministers from October 21^st, 2014, which was then sent to the National Parliament for discussion and vote. Following the inauguration of the new Government and since this diploma has not yet been voted by the National Parliament, the Sixth Government should approve a new proposal, in accordance with the Constitution.

This amendment enshrines legislatively the possibility of granting financial incentives that aim to contribute to the provision of more qualified public services in the electoral area.

The drafting of this legislation took into account the comments and suggestions made by the National Parliament and by the President of the National Electoral Commission.

• 3. Decree-Law approving the Organic Structure of the Ministry of State Administration

In accordance with the Organic Structure of the Sixth Constitutional Government the Ministry of State Administration is the central body of the Government responsible for development, implementation, coordination and evaluation of the policy defined and adopted by the Council of Ministers, for the areas of local government, administrative decentralization, the organization and implementation of electoral processes and referendums, promotion and urban hygiene and organization, and classification and conservation of official documents with historical value.

In the Sixth Constitutional Government, the Ministry of State Administration has ceased to be responsible for the management of several public programs for the promotion of local and rural development, which have transited to the Ministry of Planning and Strategic Investment.

The National Institute of Public Administration will appear as an autonomous body of the Ministry of State Administration, in the context of Indirect Administration, in addition to the Technical Secretariat for Electoral Administration and the National Archive.

4. Decree-Law approving the Organic Structure of the Ministry of Defence

In accordance with the Organic Structure of the Sixth Constitutional Government, the Ministry of Defence is the central body of the Government responsible for the development, implementation, coordination and evaluation of the policy defined and adopted by the Council of Ministers, for the areas of national defence and military cooperation.

Since the restoration of independence, Timor-Leste has taken decisive steps in the area of national defence. In the Sixth and Fifth Constitutional Governments, the strengthening of national security justified the need for approximation of the two sectors.

With the end of the Fifth Constitutional Government the organic structure of the Ministry of Defence and Security has ceased to exist, and there is a need for a new structure. Thus, with the Sixth Constitutional Government, in 2015, the sectors of defence and security have an independent ministerial structure, returning to the original structure in order to strengthen the specific competences of each sector.

This ministerial structure responds to the needs of the strengthening of national defence, in particular in its military component, reflecting a simple structure, but solid and stable, with qualified human resources, directed to the real needs for the implementation of the defence strategy, without neglecting the necessary inter-ministerial coordination with the security sector, guided by the principles of subsidiarity and complementarity between the F-FDTL and the security forces and services.

The Council of Ministers examined:

• 1. Presentation of the "National Diagnosis"

The Minister of State, co-ordinator of Matters of State Administration and Justice and the Minister of State Administration, together with the Office of the Secretary of State for Institutional Strengthening, presented to the Council of Ministers the "National Diagnostics." This presentation aims to identify the problems in Public Administration and solutions for its improvement and institutional strengthening.