The IV Constitutional Government presented, the Law proposal of the General State Budget (GSB) for the 2011 financial year, to the National Parliament, this Wednesday, the 12th of January 2011.

The plenary session’s introduction was done by the President of the National Parliament, Fernando Lassama de Araújo, followed by the presentation of the main ideas contained in the GSB for 2011, by the Prime Minister, Kay Rala Xanana Gusmão.

The total of the budget appropriations is $985 million American dollars, of which $317.306 million American dollars are assigned to the Infrastructure Fund and $25 million American dollars to the Human Capital Development Fund.

The budget appropriations, by category of expense, are the following:

1 – $115.909 million American dollars for Salaries and Wages;

2 – $270.459 million American dollars for goods and Services, of which $25 million American dollars are assigned to the Human Capital Development Fund;

3 – $164.456 million American dollars for Public Transfers;

4 – $28.252 million American dollars for Minor Capital;

5 – $405.924 million American dollars for Development Capital, of which $317.306 million American dollars are assigned to the Infrastructure Fund;

In his presentation, the Prime Minister referred the historic situation and the economic condition of Timor-Leste, which has been improving, especially in the last few years.

“All recent economic and social indicators have supported this “wave of change” for our People and our Nation.  Rather than being a failed State, as many said Timor-Leste would become, we are now in the top 10 fastest growing economies in the world! Obviously these indicators are only of value if the Timorese are able to feel a difference in their daily lives, but they nevertheless provide unquestionable evidence that our efforts so far have been successful.  And although fruit needs time before it can be plucked from a tree, in the case of Timor-Leste, a fertile land of people who have suffered, it would be well if these fruits could start being plucked as soon as possible. We are thus creating opportunities so that all people can participate in the construction of the Nation.  The People of Timor-Leste enabled the progress made last year to occur through their active, positive and hopeful participation, stated the Prime Minister in his presentation.

(To read the complete speech by the Prime Minister, click here.)

After the Prime Minister’s presentation, the Parliament’s Economy, Finance and Anticorruption Commission presented its report and advice regarding the Law proposal of the GSB for 2011, where several recommendations were made.

The first day of the consideration of the GSB in its generality finished after the National Parliament’s President and officers deferred a request to return the Budget Law proposal to the government due to alleged unconstitutionality.