Timor-Leste Prime Minister Xanana Gusmão said today that the economy is growing, but that inequalities persist in the country, and promised efforts to better invest in health and education and job creation.
© Lusa
09/11/2026
by
Lusa
O prime Minister of Timor-Leste, Xanana Gusmão, said today that the economy is growing, but that inequalities persist in the country, and promised efforts for better investment in health and education and job creation.
According to the Timorese leader, the non-oil economy in 2025 grew by 4.3%, but 37% of the population continues to live below the poverty line in 2024.
“ Inequalities persist in the country. The national average of growth does not describe the reality of a family with uncertain income, without easy access to a health center, or whose children travel long distances to attend school, often hungry ", said the chief executive.
“The government continues to make efforts to combat these inequalities. But efforts alone do not comfort those who suffer. It is necessary to do more and better. The General Budget of the State (OGE) for 2027 is the expression of this commitment”, promised Xanana Gusmão.
The Timorese leader spoke in parliament in presenting the OGE bill for 2027, with a consolidated global amount of USD 2.57 billion (EUR 2.26 billion).
Under the motto “Strengthen Resilience through Transformation: Diversifying the Economy to a Sustainable Future”, the 2027 OGE continues essential public services with investments and reforms aimed at strengthening productive capacity, creating jobs, improving the living conditions of the population and reducing the vulnerability of the economy to external shocks.
In the proposal of the General Budget of the State for 2027, the Government allocates to the health sector 182.6 million dollars (163.7 million euros), an increase of 17%, and to education 194.2 million dollars (174.1 million euros), an increase of 11% compared to 2026.
To combat child malnutrition in the country, where 45% of children are lagging behind and 19% are underweight to their height, the OGE 2027 provides an investment of $11.7 million (EUR 10.5 million) for the Bolsa Mãe program and $24.7 million (EUR 22.2 million) for the School Food program.
“ These programmes are central pillars of the strategy to combat child poverty and food insecurity,” the Prime Minister said.
In the intervention, Xanana Gusmão also considered that “employment creation is vital for development” and that the OGE allocates USD 956.9 million (EUR 858 million) to economic affairs, including infrastructure and productive sectors.
“Public administration cannot employ everyone. We need farms, fishing activities, workshops and private companies capable of growing, creating jobs and contributing to national revenue,” said Xanana Gusmão.
The Timor-Leste National Parliament will debate the OGE for 2027, in general, between today and Wednesday, and, in the specialty, between November 24th and December 4th, following the final vote.