DILI, 30 September 2025 (TATOLI) – The Council of Ministers has approved the General State Budget (GSB) proposal for 2026, worth US$2.291 billion.
The proposal, presented by Finance Minister Santina Cardoso, covers the Central Administration, the Special Administrative Region of Oé-Cusse Ambeno, and Social Security.
The government said the budget continues the Strategic Development Plan 2011–2030, focusing on social investment, infrastructure, economic diversification, and good governance.
Economic growth of 4.5% is projected for 2026, supported by higher private consumption and public investment, while inflation is expected to stabilize at 1.2%.
Key allocations include US$74.2 million for health, US$35.8 million for education, and US$180.4 million for social protection.
The government also set aside US$436 million for infrastructure and US$223.4 million for the energy sector.
Other priorities include US$20.2 million for agriculture, US$32.1 million for small businesses and cooperatives, US$104.7 million for petroleum exploration, and US$5.2 million for tourism development.
In governance, US$12.7 million will support diplomacy and ASEAN accession, US$16.2 million will go to the justice sector, US$37.1 million to decentralization and financial reform, and public contracts, and US$6.2 million to public service reform.
The government said the budget aims to deliver sustainable policies, strengthen regional integration, and promote inclusive development, preparing the country for the economic and social challenges of the 2026-2030 period.
Journalist: Camilio de Sousa
Editor: Filomeno Martins
