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2020 General State Budget
Orsamentu Jerál Estadu ba 2020

Started 3 July 2019.  Updated 6 November 2019

Link to page on 2019 state budget.      Liga ba pájina kona-ba OJE 2019

Contents of this page

Konteúdu pájina ida ne’e

2020 Budget Process begins

On 7 June, the Prime Minister's office distributed a booklet which defined their plans for 2020-2023, and Ministry of Finance advisor Helder Lopes described the economic diversification aspects at a TAF Policy Leaders Group seminar on 14 June.

As in the past several years, the Ministry of Finance announced and held a Jornada Orçamental (Budget Day) workshop on 27 June 2019 to discuss program and budgeting for 2020. The Prime Minister (Tetum) and interim Minister of Finance Sara Brites opened the session (Tetum), and you can download the Ministry's presentations (Tetum). The Central Bank also gave a presentation.

The objective of this workshop was to define national priorities for the coming year, which were explained by Prime Minister Taur Matan Ruak and in a booklet distributed by the Government. However, the workshop did not define a fiscal envelope as expected. The Prime Minister said there will be further discussion in a Budget Review Committee which will recommend an overall envelope to the Council of Ministers.

The Ministry of Finance presented three scenarios for the 2020 budget: the first "base amount" was $0.7 billion, which the Ministry called "fiscally sustainable" (domestic revenues plus ESI). The other two scenarios were $1.3 and $1.6 billion, and each contained predictions for how long the Petroleum Fund will last.

FONGTIL and La'o Hamutuk represented civil society in the workshop and were given two chances to present concerns and suggestions. Journalists attended the opening speeches of the Finance Minister and Prime Minister, but they were asked to leave during the discussion.

On 31 July, the Council of Ministers established the fiscal envelope for the proposed 2020 State Budget at $1.6 billion. It prioritizes social capital (education, training, health, water and sanitation), economic development (private sector investment, job creation, diversification, agriculture) and connectivity (ports, airports, roads). A Government press release summarized the information.

The plan is for the Council of Ministers to approve the final budget proposal on 27 September and to submit it to Parliament on 15 October.

On 6 September, the Ministry of Finance released a Pre-Budget Statement for 2020, including data about budget execution during the first half of 2019.

On 9 September, the Budget Policy Review Committee began two weeks of discussions on the budget, as reported by the Ministry of Finance and Tatoli. On 23 September, the Government and the Ministry announced that the BRC had finished its work, and that the $1,600 million budget ceiling was not enough to pay for planned government activities. Although these announcements did not give a revised figure, Tatoli reported that as much as $750 million could be added to the budget. If this happens, total spending will be 20% more than ever before

The Council of Ministers held an 'extraordinary meeting' on 27 September, but the 2020 budget was not mentioned in the official release. However, Tatoli reported that State Minister Agio Pereira said that the Council has begun to study the BRC's budget numbers and will make a decision next week.

At its meeting on 2 October, the Council of Ministers approved a budget proposal of $1,950 million -- equal to the largest budget in Timor-Leste's history (2016). According to Tatoli, the budget will be funded with:

  • $1,466m from the Petroleum Fund (nearly triple the $537m Estimated Sustainable Income)

  • $   200m carried over from 2019 (85% of which came from the Petroleum Fund)

  • $     73m in loans, to be repaid with interest in future years

  • $   210m in non-oil revenues.

The money will be spent in these budget categories:

  • $241m for salaries and benefits (13% more than in 2019)

  • $738m for goods and services (56% more than in 2019 - some is back fuel debts)

  • $458m for public transfers (26% more than in 2019)

  • $  53m for minor capital (69% more than in 2019)

  • $386m for development capital (excluding borrowing) (23% more than in 2019)

  • $  73m in borrowed money for development capital (16% less than in 2019)

La'o Hamutuk, the Core Group on Transparency and the NGO Forum held a public meeting to discuss the proposed 2020 budget on 3 October at Dili Cathedral (invitation). Presentations were made by  Epifânio Alarico Martins of the Ministry of Finance, FRETILIN MP Nina Rangel, and Febe Gomes from La'o Hamutuk. The event was covered by local media, including Tatoli and Tempo Timor.

Prosesu Orsamentál ba 2020

Iha loron 7 Juñu, Gabinete Primeiru Ministru fahe sira nia livru ki’ik ne’ebé define sira nia planu ba 2020-2023, no asesór Ministériu Finansa Helder Lopes deskreve aspetu diversifikasaun ekonomiku iha seminar TAF nia Grupu Leader Polítiku iha 14 Juñu 2019.

Iha tinan hira kotuk, Ministériu Finansa fó sai no realiza Jornada Orsamentál, ba tinan ida ne’e, Ministériu Finansas fó sai komunikadu ida hodi informa kona-ba Jornada Orsamentál ne’ebé sei realiza iha 27 Juñu 2019 hodi halo diskusaun no aprezentasaun ba partisipante sira, ministru, diretór jerál sira, no entidade sira seluk, kona-ba ezekusaun Orsamentu Jerál Estadu 2019 inklui mos planu orsamental 2020. Primeiru Ministru no Ministra Finansas interina fó sira nia diskursu makloke antes tékniku sira hahú sira nia aprezentasaun kona-ba dezempeñu ekonómiku, no haree kona ba realidade sósiu ekonómiku nasaun nian. Banku Sentrál Timor Leste mós fó aprezentasaun ida.

Objetivu husi jornada ida ne’e, atu define prioridade nasional ba 2020 too 2023, ne’ebé Primeiru Ministru esplika ona iha nia diskursu no iha sira nia livru ki’ik ne’ebé elabora sira nia planu no programa no atu determina envelope fiskál, infelizmente laiha desizaun ba envelope fiskál iha jornada ida ne’e. PM dehan sei iha diskusaun tan iha Komité Revizaun Orsamentu no lori ba Konsellu Ministru depois hetan desizaun ba envelope fiskál.

Ministériu Finansa aprezenta senáriu tolu ba OJE 2020; Senáriu primeiru mak biliaun $0.7, ne’ebé MF bolu senáriu sustentabilidade fiskál (DR+RSE), senáriu segundu biliaun $1.3 no senáriu ikus biliaun $1.6. Kada senáriu iha nia previzaun kona ba Fundu Petrolíferu sei bele iha too bainhira.

Fongtil no La’o Hamutuk partisipa iha Jornada ida ne’e, sira reprezenta sosiedade sivíl no hetan oportunidade dala rua hodi hato’o preokupasaun no sujestaun sira ba Governu. Media sira mós partisipa iha parte dadeer iha diskursu Ministra Finansa no Primeiru Ministru nian maibé too iha parte diskusaun MC husu jornalista sira atu sai.

Iha loron 31 Jullu, Konsellu Ministrus determina envelope fiskál ba proposta OJE 2020, ho nivel biliaun $1.6. Komunikadu imprensa ida husi Governu sumariza desizaun ida ne'e.

Tuir planu, Konsellu Ministrus sei aprova proposta orsamentu final ba orsamentu tinan 2020 iha loron 27 Setembru, no haruka ba Parlamentu Nasional iha loron 15 Outubru.

Iha loron 6 Setembru, Ministru Finansa publika Pre-Budget Statement for 2020 (Inglés), inklui informasaun kona-ba ezekusaun orsamentál durante Jan-Jun 2019.

Iha loron 9 Setembru, Komité Revizaun Orsamentu Polítika (KROP) hahú diskusaun ba semana rua, tuir Ministru Finansas no Tatoli. Iha 23 Setembru, Governu no Ministru fó sai katak KROP remata ona sira nia servisu, no desizaun ba envelope fiskál tokon $1,600 la to'o atu selu ba governu nia planu. Maske komunikadu sira ne'e la fó númeru foun, Tatoli hakerek bele aumenta OJE ho tokon $750 tan. Karik ida ne'e sei akontese, despeza total mak 20% liu tinan hotu iha pasadu.

Konsellu Ministrus halo 'Sorumutu Estraordinária' iha loron 27 Setembru, maibé OJE 2020 la mensiona iha komunikadu husi Governu. Maske nune'e, Tatoli fo sai kata Ministru Estadu Agio Pereira hatete katak KM hahú halo apresiasaun ba proposta husi KROP, no sei halo desizaun iha semana tuir mai.

Iha ninia enkontru iha 2 Outubru, Konsellu Ministrus aprova proposta Orsamentu ba 2020 ho montante tokon $1,950 -- hanesan OJE ne’ebé boot liu iha istória Timor-Leste (tinan 2016). Tuir Tatoli, OJE 2020 sei hetan osan husi:

  • t$1,466 husi Fundu Petróleu (besik liu dala tolu RSE t$537)

  • t$   200 husi 'carryover' husi 2019 (85% ne'ebe mai ona husi Fundu Petróleu )

  • t$     73 husi empréstimu, atu selu fali iha futuru

  • t$   210 husi reseita doméstika.

Despeza husi osan ne'e aloka ba kategoria sira tuir mai:

  • t$241 ba saláriu no vensimentu (aumenta 13% kompara ho 2019)

  • t$738 ba bens no servisu (aumenta 56% kompara ho 2019 - balu atu selu divida ba kombustivel)

  • t$458 ba transferénsia públiku (aumenta 26% kompara ho 2019)

  • t$  53 ba kapitál menór (aumenta 69% kompara ho 2019)

  • t$386 ba kapitál dezenvolvimentu (la inklui empréstimu) (aumenta 23% kompara ho 2019)

  • t$  73 ba empréstimu ba kapitál dezenvolvimentu (hamenus 16% kompara ho 2019)

La’o Hamutuk, FONGTIL no Core Group Transparency-CGT realiza enkontru públiku ida kona-ba proposta OJE 2020 (konvite) iha 3 Outubru 2019 iha Katedrál Dili. Aprezentasaun sira mai husi Diretór Polítika Ekonomia Finansa Ministériu Finansa  Epifânio Alarico Martins, Deputada Nina Rangel husi FRETILIN, no Febe Gomes husi La'o Hamutuk. Media lokál halo reportajen, inklui Tatoli no Tempo Timor.

Budget proposed to Parliament for discussion

Parliament plans to discuss and enact the 2020 State Budget by 11 December:

DateActivity
15 Oct.Government presents its proposed 2020 State Budget Law
21 Oct.Distribution to party benches and specialized standing committees
22 Oct.- 20 Nov.Consideration by committees
21,22 and 25 Nov.Discussion and voting in generality
26 Nov.- 10 Dec.Discussion and voting on specifics, and final global vote
11 Dec.Final editing and transmit Decree to the President of the Republic

On 15 October, the Government proposed its budget law and explanatory memorandum, and presented 6 budget books (downloadable below) to Parliament, as reported by Parliament and Tatoli. On 22 October, Parliament distributed the proposal to its standing committees.

The Parliamentary Standing Committees have scheduled many days of hearings on the budget proposal during the last week of October and first week of November; click on each one to get its schedule:

The Government announced the hearings, and Parliament issued press releases (Tetum) following the hearings on 26, 29 and 30 October, and 4, 5 and 6 November.

Several NGOs, including La'o Hamutuk, testified to Committee C on 30 October and we presented a written submission, with the following recommendations:

  • We ask members of National Parliament to carefully consider how spending is allocated in the 2020 budget. This applies particularly to large, unaccounted-for increases such as public transfers through the Ministry of Petroleum and Mineral Resources, and the Counterpart Fund.

  • The proposed 2020 State Budget will impact sustainability and threaten the future of the Petroleum Fund. We ask National Parliament to carefully evaluate the proposed budget before making a decision.

  • We need to strengthen and reinforce control and monitoring systems to ensure efficient and effective implementation of programs, to ensure maximum concrete benefits to the people of Timor-Leste.

  • We recommend continuing to invest in productive sectors such as family agriculture, tourism and small industry in order to reduce poverty, malnutrition, unemployment, and import dependency.

  • Invest in human resources by improving the quality of education, health, water, and sanitation to ensure that our people are healthy, smart and productive.

  • Suspend spending on the Tasi Mane Project and conduct an independent evaluation of the costs, benefits, and risks of that project.

  • We urge the National Parliament not to approve the ceiling of $750 million for new loan contracts in 2020 if the Government fails to provide details on what the loans will be spent on, where they will come from and how they will be repaid.

La'o Hamutuk's testimony is summarized in this press release.

Governu aprezenta proposta OJE ba Parlamentu Nasional

Parlamentu Nasionál planu ona atu diskute no valida Orsamentu Estadu 2020 nian iha 11 Dezembru.

DateActivity
15 Out.Governu aprezenta Proposta Lei kona ba Orsamentu Jerál Estadu 2020
21 Out.Distribuisaun ba kada Bankada Partidu no Komisaun Permanente sira
22 Out.- 20 Nov.Konsiderasaun husi Komisaun
21,22 and 25 Nov.Diskusaun no vota iha jeneralidade
26 Nov.- 10 Dez.Diskusaun no votasaun espesializadu, no votasaun final global
11 Dez.Redaksaun final no haruka dekretu ba Prezidente da Repúblika

Iha 15 Outubru, Governu haruka nia Proposta de Lei OGE 2020 no Exposição de Motivos, no temi iha livru orsamentu 6 ne’ebé haruka ba Parlamentu (bele hetan iha okos) informa husi Parlamentu no Tatoli. Iha 22 Outubru. Parlamentu fahe proposta ne’e ba ninia Komisaun permanente sira.

Komisaun sira halo kalendáriu hodi halo audiénsia barak kona-ba proposta OJE hahu iha fulan Outubru to’o 6 Novembru; hili kada komisaun atu hetan sira nia kalendáriu

Governu anunsia audiensia sira, no Parlamentu fo sai komunikadu imprensa sira kkonaba audiensia iha loron 26, 29 no 30 Outubru, no 4, 5 no 6 Novembru.

La'o Hamutuk no NGO sira seluk aprezenta ba Komisaun C iha loron 30 Outubru no ami hakerek submisaun ida, ho rekomendasaun tuir mai:

  • Ami husu ba membru Parlamentu Nasionál atu hare no kuidadu ba definisaun sira ba despeza husi OJE 2020. Liuliu ba aumentu hirak ne’ebé signifikante maka’as hanesan iha transferénsia publika Ministériu Petróleu no Minerais no mós aumentu iha Fundu Kontrapartidas.

  • Proposta OJE 2020 ne’ebé sei fó impaktu ba Timor-Leste ninia sustentabilidade orsamentál no ameasa durasaun Fundu Petrolíferu nian. Ami husu atu Parlamentu Nasionál tetu didi’ak proposta OJE 2020 antes halo desizaun.

  • Presiza haforsa no hametin sistema monitorizasaun no kontrolu atu nune’e bele asegura implementasaun ba programa sira la’o ho efisiénsia no efetivu hodi garante katak fó duni no maximiza benefísiu konkretu ba povu Timor-Leste.

  • Ami sujere atu kontinua investe iha setór produtivu sira hanesan Agrikultura Familiar, Turizmu Komunitária, Indústria ki’ik sira ne’ebé bele redús kiak, malnutrisaun, dezempregu, no redús dependénsia ba importasaun.

  • Investe iha rekursus umanu liu husi hadi’ak kualidade setór sira hanesan edukasaun, saúde, bee no saneamentu hodi bele asegura povu Timor-Leste sai povu ida ne’ebé saudável, matenek no produtivu.

  • Suspende despeza ba projetu Tasi Mane no avansa ba estudu independente ida ne’ebé bele halo estudu avaliasaun ba kustu tomak, risku, benefísiu husi projetu ne’e rasik.

  • Husu ba membru Parlamentu Nasionál atu la aprova envelope tokon $750 ba akordu empréstimu foun iha 2020, se bainhira Governu la fó esplikasaun detallu kona ba empréstimu sira ne’e ba saida, hodi halo saida no oinsá ho atu selu fila fali.

Testemuña husi La'o Hamutuk sumariza iha komunikadu imprensa ida ne'e.

Graphics (click on a graphic to see it larger)

 

Grafiku sira

 

Documents (newest first)Dokumentu

Analysis and commentary

Analiza no komentáriu

Links to relevant topics on La'o Hamutuk's websiteLiga ba tópiku sira ne’ebé relevante iha website La’o Hamutuk

 

The Timor-Leste Institute for Development Monitoring and Analysis (La’o Hamutuk)
Institutu Timor-Leste ba Analiza no Monitor ba Dezenvolvimentu
Rua D. Alberto Ricardo, Bebora, Dili, Timor-Leste
P.O. Box 340, Dili, Timor-Leste
Tel: +670-3321040 or +670-77234330
email: 
laohamutuk@gmail.com    Web: http://www.laohamutuk.org    Blog: laohamutuk.blogspot.com