Meeting of the Council of Ministers on October 2nd, 2024
Presidency of the Council of Ministers
Spokesperson of the Government of Timor-Leste
Ninth Constitutional Government
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Press Release
Meeting of the Council of Ministers on October 2nd, 2024
The Council of Ministers met at the Government Palace in Dili and approved the draft Government Resolution, presented by the Prime Minister, Kay Rala Xanana Gusmão, on fulfilling the Exclusivity Regime for Civil Servants.
This Government Resolution aims to ensure that all civil servants, whether at home or abroad, strictly comply with the exclusivity regime, as laid down in the Civil Service Statute, within the direct and indirect administration of the State. The regime prevents civil servants from accumulating paid jobs or participating in activities, jeopardising their independence or professional performance.
To ensure the implementation of this rule, the Government Resolution determines that audits and inspections will be carried out in government departments. Reports on compliance with the regime must be submitted to the respective Minister within one month of the resolution coming into force.
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The draft Decree-Law, presented by the Minister of the Presidency of the Council of Ministers in office, Expedito Dias Ximenes, for the first amendment to Decree-Law 46/2023 of July 28th, on the Organic Law of the 9th Constitutional Government, was also approved.
With this amendment, the Secretariat of State for Social Communication has been autonomised and now has its powers within the scope of the Presidency of the Council of Ministers. This amendment aims to improve the effectiveness, efficiency and quality of the services provided to citizens, especially with regard to the right to inform and to be informed.
The duties of the Secretariat of State for Social Communication will be defined in the respective organic law, to be approved within 60 days, and complemented by the powers delegated to the Secretary of State by the Council of Ministers or by the Minister of the Presidency of the Council of Ministers, under the law.
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The Council of Ministers approved the draft Law Proposal presented by Minister of Finance Santina José Rodrigues F. Viegas Cardoso on the Public Financial Management Law. This draft Law Proposal, which replaces Law No. 2/2022 of February 10th, aims to strengthen public finance management by introducing improvements to the budgetary process. As part of the Public Finance Management Reform set out in the Programme of the 9th Constitutional Government, the Law promotes greater interconnection between the budget and planning, ensuring more efficient and transparent management of state resources.
The main objectives include:
Simplifying and Improving Budget Planning: The new Law introduces a budget strategy statement, which the Government must present to the National Parliament. This document guides medium-term budget planning, defining objectives and priorities, spending limits, risk management, and resource allocation.
Transparency and Accountability: The draft Law Proposal seeks to increase transparency in the budgetary process by providing Parliament and the public with more information. This would allow for an effective assessment of the budget proposal and close and rigorous monitoring of public spending and revenue.
Focus on Results and Efficiency: This draft Law Proposal aims to ensure that programme budgeting effectively focuses on achieving results. It also aims to ensure that public spending is directly linked to the fulfilment of concrete objectives, promoting greater economy, efficiency, and effectiveness in using public resources.
Strengthening Budgetary Discipline: The new Law establishes stricter rules for public financial management, including limiting the number of entities that can take out loans and prohibiting the integration of budget balances for entities without financial autonomy, in line with a decision by the Court of Appeal.
Adjustment to budget deadlines: The aim is to ensure that the deadlines for presenting the budget are compatible with the start of each new Government's term of office, allowing for better alignment between the political and budget cycles.
Alignment with International Best Practices: The draft Law Proposal reflects international best practices in public financial management, aiming to modernise and adapt Timor-Leste's budget process to the demands of an evolving administrative and financial context.
In short, the Law Proposal seeks to improve the transparency and effectiveness of public financial management and ensure that state resources are used more efficiently, focusing on results that benefit the population.
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The following three draft Decree Laws, also presented by Finance Minister Santina José Rodrigues F. Viegas Cardoso, were also approved:
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The first draft Decree-Law refers to the Procurement and Public Contracts Code.
The new Procurement and Public Contracts Code, which replaces the previous regime approved by Decree-Law no. 22/2022 of May 11th, aims to respond to Timor-Leste's development challenges by promoting greater flexibility and speed in procurement and public contracting processes.
Among the main amendments introduced is establishing a preference scheme for national suppliers to strengthen the national business fabric. The restricted tendering procedure for services of particular complexity has also been reintroduced, and the possibility of signing framework agreements to guarantee the continuity of supplies has been provided. Transparency and control in the procurement procedure are strengthened by introducing anti-abuse rules, an obligation to report illicit practices, and the corresponding protection for whistleblowers. The law also provides for greater accountability on the part of public sector organisations, reduced deadlines for faster execution of contracts, and the possibility of advance procurement in justified cases.
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The second draft Decree-Law from the Ministry of Finance concerns the Regulation for the Granting of Subsidies, Grants and Donations by the State. This decree-law establishes a comprehensive legal framework for public subsidies, grants and donations, ensuring they are awarded efficiently and transparently by promoting good management of public resources.
Recognising the growing importance of these instruments in achieving constitutional objectives, especially in a developing country with limited resources, the draft Decree-Law defines how these supports are approved and granted, establishing a simple but rigorous regime that promotes the economy, effectiveness and efficiency of public spending, without prejudice to the specific regulation of each support, which is required by law, nor the competences regarding the regulation of specific supports that fall to the National Parliament, following the Constitution of the Republic.
The decree-law complements existing regulations in specific areas, such as social security and pensions, and aims to optimise efficiency and economy in using public spending, maintaining, where applicable, the need for specific regulations required by law.
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The third and final draft decree-law presented by Minister Santina Cardoso approves the Internal Audit Regulations.
This draft Decree-Law aims to establish the principles and rules applicable to the internal audit services of the services and entities of the Public Administrative Sector. It aims to ensure that these units act independently, impartially and effectively, promoting control and the continuous improvement of administrative operations.
Among the main aspects defined are internal auditing principles, such as objectivity, compliance, confidentiality and independence. The internal audit units are responsible for assessing internal control systems, identifying risks and issuing recommendations to improve public management. The regulation also specifies the organisation of the internal audit units, headed by an inspector general, and describes the role of the auditors, who must comply with a strict code of ethics, act impartially and guarantee the confidentiality of the information to which they have access. The law also includes rules on internal and external audits and the obligation to monitor the implementation of the recommendations issued.
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The Council of Ministers decided to approve the Portugal – Timor Leste Strategic Cooperation Programme for the period 2024 to 2028, presented by the acting Minister for Foreign Affairs and Cooperation, Francisco da Costa Guterres and the Vice-Minister for ASEAN Affairs, Milena Maria da Costa Rangel.
The Portugal-Timor-Leste Strategic Cooperation Programme 2024-2028 strengthens the partnership between the two countries based on their historical, cultural and linguistic affinities and aligns with global commitments, such as the United Nations 2030 Agenda, the Portuguese Cooperation Strategy 2030, the Strategic Development Plan 2011-2030 and other national and sectoral strategic plans. The programme aims to contribute to the sustainable development of Timor-Leste, focusing on priority areas and intervening in five main 'clusters':
Human Development: This 'cluster' focuses on education, health, social inclusion, and culture, emphasising teacher training, strengthening the Portuguese language and training health and social inclusion professionals. The programme also aims to support the fight against poverty and social exclusion, targeting vulnerable groups such as children, women and the elderly.
Rule of Law and Good Governance: This 'cluster' focuses on justice, security and defence, with training and capacity-building actions to strengthen the legal system, improve the efficiency of institutions and promote good governance. Interventions include combating crime and promoting human rights.
Public Administration, Public Finance and Economy: This 'cluster' promotes the modernisation and digitalisation of public administration and decentralisation and supports tourism and public finance. The programme seeks to strengthen the management of public resources and foster sustainable economic growth, primarily through tourism.
Youth and Employment: This 'cluster' supports vocational training and entrepreneurship, encouraging job creation and training Timorese youth. The focus is on institutionally strengthening vocational training centres and promoting the social and solidarity economy.
Oceans, Sustainability, and Infrastructure: This 'cluster' promotes environmental sustainability, biodiversity protection, and the blue economy's development. It supports the creation of a marine park and managing water resources and road infrastructure, focusing on the efficiency and sustainability of investments.
The programme also includes cross-cutting axes, such as gender equality, strengthening civil society and capacity building in the Portuguese language, integrated into all areas of intervention, with an indicative budget of 75 million euros to be implemented over five years.
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The Council of Ministers also decided to grant full powers to the Vice Prime Minister, Coordinating Minister for Economic Affairs and Minister for Tourism and the Environment, Francisco Kalbuadi Lay, to sign the Cooperation Protocol between the Government of the Portuguese Republic and the Government of the Democratic Republic of Timor-Leste for the Development and Implementation of the REVIVE Programme.
This initiative aims to promote and streamline processes for the recovery, preservation and monetisation of public properties of high heritage, cultural, historical and architectural value and their transformation into an economic asset for the country's benefit, particularly the communities of the regions covered. The basic model of the REVIVE Programme involves the recovery of these properties through public initiatives and private investment, making them suitable for economic activities related to the tourism sector in all its aspects, namely cultural, ecological, spa, mountain or blue tourism, achieving the assumptions of valorisation, recovery and conservation of this heritage and the environmental, social and economic sustainability of the regions covered.
The programme will cover 14 properties in Timor-Leste, in line with the Sustainable Development Goals. It aims to benefit local communities and promote social, economic, and environmental sustainability. The agreement will have an initial duration of two years and be renewable automatically.
The first phase will include the properties of the Tutuala Pousada (Hotel or Guest House) in Lautém; the Maubisse Pousada in Ainaro; the Same Pousada in Manufahi; the Manatuto Pousada in Manatuto; the Marobo hot springs, in Bobonaro; the Maubara Fort, in Liquiçá; the Beaço Customs House, in Viqueque; the Fohorem Administrative Post, in Suai, Covalima; and the Administrator's Residence in Pante Macassar, in Oé-Cusse Ambeno. The second phase will include the Vila Maria Pousada and the Hatubuilico Pousada, both in Ainaro; the Fatubessi Coffee Warehouse in Ermera; the Old Portuguese Hospital in Viqueque; and the Iliomar Administrative Post in Lautém.
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The Minister for Public Works, Samuel Marçal, presented to the Council of Ministers the Cooperation Agreement between the Portuguese Republic and the Democratic Republic of Timor-Leste in the area of infrastructure, which aims to promote an instrument of international law that will allow closer cooperation between the entities responsible for the area of infrastructure in the two countries.
The partnership will cover civil engineering, spatial planning and urbanism, housing, road, port, airport infrastructures and related facilities, telecommunications, electricity, water, and sanitation. The agreement also provides for the sharing of expertise, the exchange of technicians, and support for institutional and regulatory consolidation in Timor-Leste.
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The Council of Ministers also approved the draft Resolutions of the National Parliament on the agreements for exemption from visa requirements for holders of Diplomatic Passports and Official or Service Passports between the Government of the Democratic Republic of Timor-Leste and the Governments of the Republic of the Philippines, the Republic of Vietnam, and the Republic of India.
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The draft Resolution of the National Parliament on the Air Services Agreement between the Government of the Democratic Republic of Timor-Leste and the Government of Malaysia was also approved.
This agreement aims to strengthen bilateral relations and promote the development of the air transport sector, a key element for the country's interconnectivity, economic growth, and tourism.
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The Council of Ministers approved the draft Decree-Law, presented by the Minister of National Liberation Combatants' Affairs, Gil da Costa Monteiro "Oan Soru", for the second amendment to Decree-Law no. 7/2018, of March 28th, on the Organic Statute of the Council of National Liberation Combatants (CCLN – acronym in Portuguese).
Six years after the approval of the Organic Statute of the Council of National Liberation Combatants and with the experience acquired, namely with the establishment of the Veterans' Investment Fund, the need to ensure its proper management is recognised, and the Administration of the Council of National Liberation Combatants is assigned the competence for this function.
To this end, the aim is to adjust the Council to the current reality by creating a more efficient organisational structure, which will help reduce unnecessary expenses in some of its bodies. The aim is also to strengthen the CCLN's powers regarding the Veterans' Investment Fund, encouraging the creation of income-generating activities and thus promoting national economic development.
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The Council of Ministers decided to remove Carlos Peloi dos Reis as Chairman of the Board of Directors of Bee Timor-Leste and, by Government Resolution, approved the appointment of Gustavo da Cruz as his successor for a four-year term, effective from November 1st, 2024.
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Lastly, the Vice Prime Minister, Coordinating Minister for Social Affairs and Minister for Rural Development and Community Housing, Mariano Assanami Sabino, gave a presentation to the Council of Ministers on the preparations for the Rabilau Festival. This event, which will take place between October 16th and 19th, 2024, is the result of collaboration between the Presidency of the Republic and the 9th Constitutional Government to promote tourism, culture and sport in Timor-Leste. The festival will highlight local cultural heritage and traditions through music, dance, digital art competitions, sports activities, and local food and product fairs, with the involvement of the Presidency of the Republic, various government institutions, and other partner organisations. END
