DILI, 02 October 2025 — The Government of Timor-Leste has formally submitted the 2026 General State Budget to the National Parliament.
Prime Minister Kay Rala Xanana Gusmão delivered the proposal on Wednesday, October 2, to the President of the National Parliament, Maria Fernanda Lay. He was accompanied by Minister of Finance Santina José Rodrigues F. Viegas Cardoso, Vice-Minister of Finance Felícia Claudinanda Cruz Carvalho, Vice-Minister for Parliamentary Affairs Adérito Hugo da Costa, and senior officials from the Ministry of Finance.
The budget proposal was approved by the Council of Ministers during an extraordinary meeting on September 30.
Carrying the theme “Investing in National Transformation, Regional Integration and Inclusive Development,” the 2026 State Budget reflects the vision of the IX Constitutional Government to strengthen the national economy and improve public service delivery.
The total budget ceiling is set at US$2.291 billion, based on macroeconomic projections that estimate GDP growth of 4.3 percent in 2024 and 4.5 percent in both 2025 and 2026. Growth is expected to be driven by household consumption and improved public investment execution.
The 2026 budget continues the implementation of the Strategic Development Plan 2011–2030 and the program of the IX Constitutional Government. It prioritizes four main areas:
Social capital, with investments in health, education, and social protection to strengthen human development.
Infrastructure, including roads, electrification, telecommunications, and access to clean drinking water.
Economic diversification, through support for agriculture, fisheries, tourism, and private sector growth.
Institutional strengthening, with reforms in public services, public financial management, decentralization, and governance.
TATOLI
