Government of Timor-Leste

On October 13^th, 2026, in Dili, the Minister of Commerce and Industry, Filipus Nino Pereira, attended the opening of the National Workshop on the ASEAN Digital Economy Framework Agreement (DEFA), which aims to strengthen Timor-Leste’s preparedness for integration into the regional digital economy.

The Ministry of Commerce and Industry organised the workshop, in collaboration with the International Trade Centre (ITC) and with support from the ASEAN Secretariat and the European Union, bringing together representatives from public institutions and the private sector to analyse the requirements and mechanisms for implementing the agreement.

The DEFA establishes a regional framework to promote an integrated digital economy across ASEAN by harmonising standards and procedures among Member States. The agreement covers areas such as e-commerce and electronic payments, digital identity, data protection and cross-border data flows, cybersecurity, and emerging technologies.

In his address, Minister Filipus Nino Pereira said, “Digital transformation is no longer merely a technological ambition but an economic imperative. For Timor-Leste, it offers an important opportunity to diversify the economy, strengthen business competitiveness, attract investment, and participate more meaningfully in regional and global value chains.”

The sessions enabled an analysis of the preparedness of national institutions and the coordination required across Government sectors, including customs, electronic payments, and the legal framework. The interoperability of digital platforms, data security and reliability, and the suitability of the regulatory framework also form key elements of the national preparation process.

Timor-Leste’s participation in the DEFA is expected to facilitate cross-border commercial transactions and electronic payments, strengthen regulatory cooperation, and create better conditions for domestic micro, small, and medium-sized enterprises to access the regional market. The regional framework also offers opportunities in the information and communications technology, digital services, and e-commerce sectors.

The workshop builds on Timor-Leste’s preparations to participate in ASEAN economic instruments. On September 30^th, 2026, the Council of Ministers granted full powers to the Vice Prime Minister, Coordinating Minister for Economic Affairs and Minister of Tourism and Environment, Francisco Kalbuadi Lay, to sign the ASEAN Digital Economy Framework Agreement on behalf of the Democratic Republic of Timor-Leste.

The DEFA signing is scheduled to take place during the ASEAN Summit in November in the Philippines. The Minister of Commerce and Industry also indicated that the ASEAN Framework Agreement on Competition (AFAC) — for which he received full powers by decision of the Council of Ministers on September 30^th — will be signed electronically.