Timor-Leste

Timor was actively involved in Southeast Asian trading networks for centuries and by the 14th century exported aromatic sandalwood, slaves, honey, and wax. A number of local chiefdoms ruled the island in the early 16th century when Portuguese traders arrived, chiefly attracted by the relative abundance of sandalwood on Timor; by mid century, the Portuguese had colonized the island. Skirmishing with the Dutch in the region eventually resulted in an 1859 treaty in which Portugal ceded the western portion of the island.

Imperial Japan occupied Portuguese Timor from 1942 to 1945, but Portugal resumed colonial authority after the Japanese defeat in World War II. East Timor declared itself independent from Portugal on 28 November 1975 and was invaded and occupied by Indonesian forces nine days later. It was incorporated into Indonesia in July 1976 as the province of Timor Timur (East Timor). An unsuccessful campaign of pacification followed over the next two decades, during which an estimated 100,000 to 250,000 people died.

In an August 1999 UN-supervised popular referendum, an overwhelming majority of the people of Timor-Leste voted for independence from Indonesia. However, in the next three weeks, anti-independence Timorese militias - organized and supported by the Indonesian military - commenced a large-scale, scorched-earth campaign of retribution. The militias killed approximately 1,400 Timorese and displaced nearly 500,000. Most of the country's infrastructure, including homes, irrigation systems, water supply systems, and schools, and nearly all of the country's electrical grid were destroyed.

On 20 September 1999, Australian-led peacekeeping troops deployed to the country and brought the violence to an end. On 20 May 2002, Timor-Leste was internationally recognized as an independent state.

In 2006, internal tensions threatened the new nation's security when a military strike led to violence and a breakdown of law and order. At Dili's request, an Australian-led International Stabilization Force (ISF) deployed to Timor-Leste, and the UN Security Council established the UN Integrated Mission in Timor-Leste (UNMIT), which included an authorized police presence of over 1,600 personnel. The ISF and UNMIT restored stability, allowing for presidential and parliamentary elections in 2007 in a largely peaceful atmosphere.

In February 2008, a rebel group staged an unsuccessful attack against the president and prime minister. The ringleader was killed in the attack, and most of the rebels surrendered in April 2008. Since the attack, the government has enjoyed one of its longest periods of post-independence stability, including successful 2012 elections for both the parliament and president and a successful transition of power in February 2015. In late 2012, the UN Security Council ended its peacekeeping mission in Timor-Leste and both the ISF and UNMIT departed the country.

Timor-Leste’s high fertility and population growth rates sustain its very youthful age structure – approximately 40% of the population is below the age of 15 and the country’s median age is 20. While Timor-Leste’s total fertility rate (TFR) – the average number of births per woman – decreased significantly from over 7 in the early 2000s, it remains high at 4.3 in 2021 and will probably continue to decline slowly.

The low use of contraceptives and the traditional preference for large families is keeping fertility elevated. The high TFR and falling mortality rates continue to fuel a high population growth rate of nearly 2.2%, which is the highest in Southeast Asia. The country’s high total dependency ratio – a measure of the ratio of dependents to the working-age population – could divert more government spending toward social programs.

Timor-Leste’s growing, poorly educated working-age population and insufficient job creation are ongoing problems. Some 70% of the population lives in rural areas, where most of people are dependent on the agricultural sector. Malnutrition and poverty are prevalent, with 42% of the population living under the poverty line as of 2014.

During the Indonesian occupation (1975-1999) and Timor-Leste’s fight for independence, approximately 250,000 Timorese fled to western Timor and, in lesser numbers, Australia, Portugal, and other countries. Many of these emigrants later returned. Since Timor-Leste’s 1999 independence referendum, economic motives and periods of conflict have been the main drivers of emigration.

Bilateral labor agreements with Australia, Malaysia, and South Korea and the presence of Timorese populations abroad, are pull factors, but the high cost prevents many young Timorese from emigrating. Timorese communities are found in its former colonizers, Indonesia and Portugal, as well as the Philippines and the UK. The country has also become a destination for migrants in the surrounding region, mainly men seeking work in construction, commerce, and services in Dili.

highest courts:

Court of Appeals (consists of the court president and NA judges)

judge selection and term of office:

• court president appointed by the president of the republic from among the other court judges to serve a 4-year term;
• other court judges appointed - 1 by the Parliament and the others by the Supreme Council for the Judiciary, a body chaired by the court president and that includes mostly presidential and parliamentary appointees;
• other judges serve for life

subordinate courts:

• Court of Appeal;
• High Administrative, Tax, and Audit Court;
• district courts;
• magistrates' courts;
• military courts

note: the UN Justice System Programme, launched in 2003 and being rolled out in 4 phases through 2018, is helping strengthen the country's justice system;

the Programme is aligned with the country's long-range Justice Sector Strategic Plan, which includes legal reforms

name:

"Patria" (Fatherland)

lyrics/music:

Fransisco Borja DA COSTA/Afonso DE ARAUJO

note: adopted 2002; the song was first used as an anthem when Timor-Leste declared its independence from Portugal in 1975; the lyricist, Francisco Borja DA COSTA,

was killed in the Indonesian invasion just days after independence was declared

Since independence in 1999, Timor-Leste has faced great challenges in rebuilding its infrastructure, strengthening the civil administration, and generating jobs for young people entering the work force. The development of offshore oil and gas resources has greatly supplemented government revenues.

This technology-intensive industry, however, has done little to create jobs in part because there are no production facilities in Timor-Leste. Gas is currently piped to Australia for processing, but Timor-Leste has expressed interest in developing a domestic processing capability.

In June 2005, the National Parliament unanimously approved the creation of the Timor-Leste Petroleum Fund to serve as a repository for all petroleum revenues and to preserve the value of Timor-Leste's petroleum wealth for future generations. The Fund held assets of $16 billion, as of mid-2016.

Oil accounts for over 90% of government revenues, and the drop in the price of oil in 2014-16 has led to concerns about the long-term sustainability of government spending. Timor-Leste compensated for the decline in price by exporting more oil. The Ministry of Finance maintains that the Petroleum Fund is sufficient to sustain government operations for the foreseeable future.

Annual government budget expenditures increased markedly between 2009 and 2012 but dropped significantly through 2016. Historically, the government failed to spend as much as its budget allowed. The government has focused significant resources on basic infrastructure, including electricity and roads, but limited experience in procurement and infrastructure building has hampered these projects.

The underlying economic policy challenge the country faces remains how best to use oil-and-gas wealth to lift the non-oil economy onto a higher growth path and to reduce poverty.

general assessment:

• following years of civil unrest, the government and operators are working toward rebuilding key infrastructure, including telecommunications networks;
• service in urban and some rural areas expanding with competition;
• most of the population has access to 4G LTE service;
• increase in mobile-broadband penetration;
• government aims to boost e-government services with new national terrestrial fiber-optic network;
• launch of satellite and approval for submarine cable link to Australia will boost sector growth;
• importer of broadcasting equipment from Indonesia and China (2020)

domestic:

• system suffered significant damage during the violence associated with independence;
• limited fixed-line services, less than 1 per 100 and mobile-cellular services have been expanding and are now available in urban and most rural areas with teledensity of 110 per 100 (2019)

international:

• country code - 670;
• international service is available;
• partnership with Australia telecom companies for potential deployment of a submarine fiber-optic link (NWCS);
• geostationary earth orbit satellite

note: the COVID-19 pandemic continues to have a significant impact on production and supply chains globally; since 2020, some aspects of the telecom sector have experienced downturn, particularly in mobile device production;

many network operators delayed upgrades to infrastructure; progress towards 5G implementation was postponed or slowed in some countries; consumer spending on telecom services and devices was affected by large-scale job losses and the consequent restriction on disposable incomes;

the crucial nature of telecom services as a tool for work and school from home became evident, and received some support from governments

since achieving independence, Timor-Leste has received security assistance from or has made defense cooperation arrangements with Australia, China, Indonesia, Malaysia, New Zealand, the Philippines, Portugal, the UN, and the US; some F-FDTL personnel train with the Indonesian military and the two countries maintain a joint Border Security Task Force to jointly monitor and patrol the border, particularly the Oecussi exclave area where smuggling and trafficking are prevalent

the F-FDTL is a small force comprised of 2 infantry battalions and operates fewer than 10 patrol boats; it does not have any combat aircraft