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International Partnerships

Timor-Leste

Timor-Leste, home to around 1.3 million people, is located northwest of Australia at the eastern end of the Indonesian Archipelago. Since reclaiming its independence in 2002, Timor-Leste has established itself as a young yet effectively functioning democracy. Despite possessing substantial oil and gas reserves, Timor-Leste remains categorised as a Least Developed Country, grappling with issues such as food insecurity and lack of infrastructure. The path to development in Timor-Leste is also complicated by the regular occurrence of natural disasters, including earthquakes and floods.

Our partnership

The European Union's partnership with Timor-Leste is deeply rooted in shared commitments to democracy, human rights, and the principles of multilateralism. Leveraging these common values, the EU's engagement in Timor-Leste is currently focused on promoting economic diversification, fostering economic growth and job creation, and supporting the nation's aspirations to become a member of the World Trade Organisation (WTO) and the Association of South-East Asian Nations (ASEAN).

Representing Team Europe in Timor-Leste are the European Union, the European Investment Bank, and Portugal. Under the Multiannual Indicative Programme (MIP), a total of EUR 55 million has been allocated for the 2021-2024 period, supporting initiatives that are in line with Timor-Leste's Strategic Development Plan (SDP) for 2011-2030, its Post-COVID Economic Recovery Plan (ERP), and the Global Gateway Strategy.

Furthermore, Timor-Leste benefits from multi-country programmes, including Regional Pacific and ASEAN programmes. Additionally, Timor-Leste benefits from the PALOP-TL (Portuguese-Speaking African Countries and Timor-Leste)-EU cooperation, which was extended to include Timor-Leste in 2007.

8 MARCH 2022
Multiannual Indicative Programme 2021-2027 for Timor-Leste – decision
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(130.92 KB - PDF)
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8 MARCH 2022
Multiannual Indicative Programme 2021-2027 for Timor-Leste – annex
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(1.02 MB - PDF)
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27 NOVEMBER 2023
Annual action plan 2023 for Timor Leste
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(1.02 MB - ZIP)
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29 NOVEMBER 2022
Annual action plan 2022 for Timor-Leste
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(2.19 MB - ZIP)
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Our flagship initiatives

Timor-Leste is included in the region-wide Team Europe Initiative ‘Green Blue Alliance for the Pacific and Timor-Leste,’ with projects such as:

  • The project Agroforestry for Timor-Leste (EUR 7 M) which aims to develop the agroforestry sector and diversify the economy, contributing to a sustainable management of natural resources, biodiversity and ecosystems. It will promote a climate change-resilient agroforestry sector that provides sustainable and fair benefits to the Timorese population.
  • TVET in Agroforestry Sector (EUR 3 M), which seeks to diversify the Timorese economy through focusing on private sector development by tapping into the potential of the agroforestry sector. It will support Technical and Vocational Education Training (TVET) to increase the employability of young people in the agroforestry sector to improve their livelihoods, productivity and competitiveness, taking into account the needs for skilled labour of small and medium enterprises (SMEs) to boost private sector growth.
  • The Project Rai Matak (EUR 2.7 M) works on improving climate resilience of subsistence farmers in Timor-Leste, increasing application of rural climate-smart practices such as community-based reforestation, agroforestry and carbon farming, access to financial services and improving gender equality in target locations and, in the long term, nationally. It will deliver an economic return to farmers and promote self-managed social enterprises.
  • Ai Ba Futuru (EUR 14.2 M) or the ‘Trees for the Future Partnership for Sustainable Agroforestry’, is implemented by Germany (GIZ). Working with the Timorese authorities and small holder farmers, the project aims to preserve forests, to strengthen the economy and to improve rural communities’ livelihoods. It targets marginalised families in 40 selected villages.

The EU also has a number of projects in other sectors:

Regional integration:

  • A project supporting Regional Integration and Trade (EUR 3 M), which aims to support Timor-Leste’s economic integration and trade in the Southeast Asia region. It targets Timor-Leste’s government agencies, Parliament, civil society, and the private sector to help the country prepare for its accession to ASEAN, the WTO and the Economic Partnership Agreement.

Public Financial Management:

  • The Technical Assistance in Public Financial Management (EUR 6 M) builds on a previous budget support programme on Public Financial Management and will support the initial implementation of Timor-Leste’s new Public Financial Management reform strategy and action plan.

Nutrition:

  • The Strengthening Social Inclusion and Nutrition (EUR 12 M), builds on a recent budget support programme in the nutrition sector, and aims to contribute to reducing poverty by addressing malnutrition and social inclusion amongst children under five, young pregnant mothers, and school age children in Timor-Leste.

Gender:

  • The EU is working with Plan International Finland in supporting women and girls in the township of Aileu to claim and access their rights for a life free from gender-based violence.

Employment:

  • The PROCULTURA project (EUR 17.75 M), managed by Camões, is contributing to employment promotion in the Portuguese speaking African countries (PALOP) and in Timor-Leste.

Infrastructure:

  • The EU is working with the European Investment Bank to prepare and implement projects in Timor-Leste (EUR 4.9 million), including projects on landfills, water supply and agroforestry.
  • The EU is also working with the Asian Development Bank on District Roads Rehabilitation and Maintenance, with an EU contribution of EUR 20.4 million, supporting the upgrade and maintenance of 44 kilometres of district roads.