Investment Procedures

  • Submit investment proposal throughTrade Invest Timor-Leste
  • Relevant departments review proposal
  • Minister or Cabinet approves the investment
  • Rapid decision making on investment proposal within 30 days
  • Investor receives External Investor Certificate
  • Investment venture is implemented
  • KeepTrade Invest Timor-Leste regularly informed on investment progress

Contact Trade Invest Timor-Leste Office for more information:

Chancery:
Independence Memorial Hall
Avenida Portugal, Dili, Timor-Leste
Tel. (670) 333 1084
Email: tradeinvest_tl@yahoo.com
Website:www.tradeinvest.tl

Economic Development Strategy

  • Open economy based on competitiveness
  • Market economy led by Private Sector
  • Business friendly economic environment
  • Export-led economy
  • Strengthened domestic Private Sector
  • Attractive Investment Opportunities
  • Developing Economic Infrastructure

Investment Opportunities

  • Oil and Gas – Upstream and Downstream
  • Agribusiness
  • Forestry
  • Fisheries
  • Tourism
  • Light Manufacture
  • Economic Infrastructure

Possible Access to Major Markets

  • Access to key markets with exemption of tariffs and quotas:
    • Australia
    • Japan
    • New Zealand
    • European Union
  • Preferential Access to USA Market
    • GSP – General System of Preference
  • Timor-Leste Memberships:
    • ACP – African, Caribbean and Pacific
    • CPLP – Community of Portuguese Language Countries
    • IFC – International Finance Corporation
    • OPIC – Overseas Private Investment Corporation
    • MIGA – Multilateral Investment Guarantee Agency

Investment Promotion Strategy

  • Export-led investment strategy
  • Best practice investment guarantees
  • Joint-venture based on investor preference
  • Integrating Small and Medium Enterprises (SMEs) into the Foreign Direct Investment (FDI) supply chain
  • Private participation in infrastructure development

Condition and Guarantees

  • Access to every sector of the economy, as established by the law of Timor-Leste
  • Minimum amount of investment: US$ 100,000.00
  • Government Guarantees on:
    • The right to private property
    • Against nationalization
    • Equal treatment
    • Transfer of profit and capital proceeds
    • Recruitment of expatriates
    • Transferability of FDI assets
    • Access to foreign currency
    • Conflict resolution on the framework of the Washington Convention (CIRDI/ICSID Rules / International Center for Settlement of Investment Disputes)

Fiscal Incentives

  • Tax credit of US $300.00 per Timorese worker hired all year long, for a period of, according to the location or to the nature of the project:
    • Any project:
      • 5 years on urban areas
      • 7 years on rural areas
      • 10 years on Oecusse and Atauro regions
    • In the case of export orientated projects:
      • 7 years on urban areas
      • 9 years on rural areas
      • 12 years on Oecusse and Atauro regions
    • In the case of infrastructure projects:
      • 10 years on urban areas
      • 12 years rural areas
      • 15 years on Oecusse and Atauro regions

Custom Tax Exemption and Rent Incentives

  • Custom Tax Exemption on:
    • Equipment
    • Raw Materials for Industry
    • Subsidiary materials
    • Spare parts and components
    • Fuel for energy production, on absence of access to public network
  • Rent exemption on State Land Properties for:
    • 7 years on rural areas projects
    • 9 years on projects on Oecusse and Atauro regions
  • Custom Tax Exemption on:
    • Conflict resolution on the framework of the Washington Convention (CIRDI / ICSID Rules / International Center for Settlement of Investment Disputes)

Growth Domestic Product (GDP) by Economic Sector (2003)

Sector GDP%:

  • Agriculture, Forestry, and Fisheries 30%
  • Public Administration and Defense 23%
  • Construction 16%
  • Trade, Hotels and Restaurants 9%
  • Transport and Communications 8%
  • Finance, Rent and Business Services 7%
  • Manufacturing 3%
  • Mining and Quarrying 1%
  • Electricity, Gas and Water 1%
  • Priveat Services 1%

Total: 100%

Major Import Markets (2003)

Market Total %:

  • Indonesia* 41%
  • Australia* 11%
  • Singapore 6%
  • Portugal 5%
  • Thailand 0.5%
  • China 0.4%
  • Vietnam 0.3%
  • Italy 0.3%
  • India 0.2%
  • Denmark 0.2%

Remarks: * Includes fuel

Imported Items by Category (2003)

Item Total %:

  • Petroleum Products 31%
  • Food and Beverage 10%
  • Capital Goods 7%
  • Construction Materials 6%
  • Vehicles and Spare Parts 6%
  • Others 40%

Total: 100%

Principal Export Products (2003)

Items Total %:

  • Organic Coffee 74%
  • Other Products 26%:
    • Fish
    • Vanilla
    • Pepper
    • Nuts
    • Other

Total: 100%

Major Export Markets (2003)

Market Total %:

  • USA 41%
  • Indonesia 13%
  • Australia 8%
  • Singapore 2%
  • Germany 2%
  • Norway 1%
  • Portugal 1%

Major Investors: Country of Origin

  • USA
  • Japan
  • Italy
  • Australia
  • Portugal
  • Indonesia
  • Thailand
  • Singapore
  • Malaysia
  • China

Foreign Trade Overview: Product Imports by Category (2003)

  • Petroleum Products $64M 32%
  • Food and Beverages $20M 10%
  • Capital Goods $14M 6%
  • Construction Materials $12M 6%
  • Vehicles and Spares $12M 6%
  • Others $81M 40%

Total: $203M 100%