DILI, 13 June 2026 (TATOLI) — Expenditure on salaries and wages has continued to account for nearly a quarter of Timor-Leste’s State General Budget (OGE) since 2023, according to preliminary findings from the 2025/2026 Demographic and Health Survey released on Thursday at the Ministry of Finance in Dili.
The report indicates that approximately 25% of the national budget is allocated to the salaries of public sector employees, placing Timor-Leste among the countries with the highest levels of public wage expenditure.
At approximately 25% of total expenditure, Timor-Leste’s public sector wage bill is significantly higher than those of its regional peers. The survey shows that salaries and wages account for 10.3% of government spending in Indonesia, 11.4% in Malaysia, 4.5% in the Philippines and 5.2% in Singapore.
In many countries across Africa, the Middle East and Latin America, public sector wage expenditure generally does not exceed 10% of national budgets.
The survey attributes the increase in salary-related costs largely to the expansion of the civil service workforce, particularly the growing number of fixed-term contract employees, including advisers.
Since 2015, the number of employees in Timor-Leste’s public administration has increased by 63%, contributing to the sustained rise in government payroll expenditures, the report said.
The findings were presented as part of ongoing discussions on public finances and budget sustainability, amid government efforts to balance recurrent spending with long-term development priorities.
TATOLI
