World Bank2013-08-282013-08-282002-03-28https://hdl.handle.net/10986/15426The main challenge facing East Timor, is how to reconcile a simultaneous existence of acute poverty and severe shortage of human management skills, with solid prospects of future flows from the country's natural resource wealth. Policies to meet these two priorities - sustained poverty and sound management of natural resources - are the focus of this report. It looks at the pressing concerns of managing the economic transition from the United Nationals Transitional Administration in East Timor (UNTAET) within the next two years; at the issue of wealth creation and the need to enhance the private investment climate; at the need to devise a framework for saving the oil and gas revenues; at the importance of raising human development standards; at the limited number of qualified personnel able to formulate high priority development objectives, compounded by the need to build effective governance; and, at the overwhelming incidence of poverty in rural areas, and the strong correlation between consumption poverty, and low levels of education. In setting a strategy for growth and poverty reduction, the report highlights the importance of maintaining the prevailing efforts at raising farm incomes, and productivity, while improving the quality of rural education, and health facilities, including a tax policy vision that can play a role to avoid exacerbating urban bias. On improving the business environment, there is need for capacity building, and micro-finance programs, but within an adequate legal framework, and prudential regulations. The administrative priorities would require enhanced citizen monitoring on government performance, with an input in public services to improve transparency - which would emerge from an assessment of cost, effectiveness, and capacity.en-USCC BY 3.0 IGOACCOUNTABILITYACCOUNTINGACCOUNTING STANDARDSADBAGEDAGRICULTURAL OUTPUTAGRICULTURAL PRODUCTIONAGRICULTURAL SECTORAGRICULTUREAUDITINGBANKRUPTCYBUSINESS CYCLESBUSINESS ENVIRONMENTCAPITAL BASECIVIL SERVICECLIMATECOMMUNITY LEVELCOMPETITIVENESSCONCESSIONAL LENDINGCONSUMERSCONSUMPTION POVERTYCOUNTRY COMPARISONSCROWDING OUTDEBTDEFICIT FINANCINGDEPOSITSDEVELOPING COUNTRIESDEVELOPMENT STRATEGYDONOR ASSISTANCEDONOR COMMUNITYDUAL ECONOMYECONOMIC CONDITIONSECONOMIC COOPERATIONECONOMIC DEVELOPMENTECONOMIC MANAGEMENTECONOMIC MEMORANDUMEFFECTIVE GOVERNANCEEMPLOYMENTEXCHANGE RATEEXPENDITURESEXPLOITATIONFAMILIESFISCAL POLICYFISCAL YEARFISHERIESFOOD CONSUMPTIONFOOD INSECURITYFOOD PRODUCTIONFOOD SECURITYFOREIGN BANKSFOREIGN EXCHANGEFORESTRYGDPGOVERNANCE STRUCTUREGROSS DOMESTIC PRODUCTHEALTH CAREHEALTH OUTCOMESHEALTH PLANSHEALTH POLICYHEALTH PROBLEMSHEALTH SERVICESHEALTH STATUSHOUSEHOLD SURVEYHOUSINGHUMAN CAPITALHUMAN DEVELOPMENTILLITERACYIMMUNIZATIONIMPORT TARIFFSIMPORTSINCOMEINTERNATIONAL COMPARISONSISOLATIONLABOR MARKETLEGAL FRAMEWORKLEGISLATIONLIFE EXPECTANCYLIVING STANDARDLONG TERMMALARIAMANAGERSMARKET PRICESMARKETINGMICROFINANCEMIGRATIONMINIMUM WAGESMONETARY POLICYMORTALITYNATURAL RESOURCESOILOPERATING COSTSOPPORTUNITY COSTOVERALL EXPENDITUREPOLICY FRAMEWORKPOLICY RESPONSEPOOR COUNTRIESPOTENTIAL INVESTORSPOVERTY REDUCTIONPOVERTY REDUCTION STRATEGYPRIMARY EDUCATIONPRIMARY SCHOOLPRIVATE SECTORPRODUCERSPRODUCTIVITYPUBLIC DEBATEPUBLIC EXPENDITUREPUBLIC EXPENDITURE MANAGEMENTPUBLIC HEALTHPUBLIC RESOURCESPUBLIC SECTORPURCHASING POWERREAL GDPREDUCING POVERTYREFUGEESREGULATORY FRAMEWORKREGULATORY SYSTEMRESOURCE CONSTRAINTSRURAL AREASRURAL ECONOMYSAVINGSSERVICE DELIVERYSHORT TERMSOCIAL COSTSSOCIAL INDICATORSSUSTAINABLE USETASK TEAM LEADERTAX ADMINISTRATIONTAXATIONTECHNICAL ASSISTANCETELECOMMUNICATIONSTERTIARY EDUCATIONTIME FRAMETRANSPORTURBAN AREASURBAN SERVICESVALUE ADDEDVIOLENCEWAGESWASTEWATER METERSWEALTHWEALTH CREATION COUNTRY ECONOMIC WORKABSOLUTE POVERTYRURAL POVERTYHUMAN CAPITALHUMAN RESOURCES POLICIESHUMAN RESOURCES STRATEGYCAPACITY BUILDINGNATURAL RESOURCE MANAGEMENTPOLICY FRAMEWORKTRANSITIONAL ASSISTANCEPRIVATE INVESTMENTSINVESTOR CONFIDENCEADMINISTRATIVE CONSTRAINTSCIVIL SERVICECIVIL STRIFE ASSISTANCEGOVERNANCE CAPACITYEDUCATION & ECONOMIC DEVELOPMENTACCESS TO EDUCATIONQUALITY OF EDUCATIONECONOMIC GROWTHPOVERTY REDUCTIONFARM INCOMEAGRICULTURAL PRODUCTIVITYFOOD SECURITYHEALTH CARE DELIVERYOIL & GAS RESERVESFISCAL POLICYLEGAL FRAMEWORKPRUDENTIAL REGULATIONSTAX POLICYBUSINESS ENVIRONMENTMICROFINANCEADMINISTRATIVE CAPABILITYMONITORING CRITERIAPERFORMANCE INDICATORSPUBLIC SERVICE DELIVERYCOST-EFFECTIVENESSWorld Bank10.1596/15426