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The Portuguese began to trade with the island of Timor in the early 16th century and colonized it in mid-century. Skirmishing with the Dutch in the region eventually resulted in an 1859 treaty in which Portugal ceded the western portion of the island. Imperial Japan occupied Portuguese Timor from 1942 to 1945, but Portugal resumed colonial authority after the Japanese defeat in World War II. East Timor declared itself independent from Portugal on 28 November 1975 and was invaded and occupied by Indonesian forces nine days later. It was incorporated into Indonesia in July 1976 as the province of Timor Timur (East Timor). An unsuccessful campaign of pacification followed over the next two decades, during which an estimated 100,000 to 250,000 individuals lost their lives. On 30 August 1999, in a UN-supervised popular referendum, an overwhelming majority of the people of Timor-Leste voted for independence from Indonesia. Between the referendum and the arrival of a multinational peacekeeping force in late September 1999, anti-independence Timorese militias - organized and supported by the Indonesian military - commenced a large-scale, scorched-earth campaign of retribution. The militias killed approximately 1,400 Timorese and forcibly pushed 300,000 people into western Timor as refugees. The majority of the country's infrastructure, including homes, irrigation systems, water supply systems, and schools, and nearly 100% of the country's electrical grid were destroyed. On 20 September 1999, the Australian-led peacekeeping troops of the International Force for East Timor (INTERFET) deployed to the country and brought the violence to an end. On 20 May 2002, Timor-Leste was internationally recognized as an independent state. In late April 2006, internal tensions threatened the new nation's security when a military strike led to violence and a near breakdown of law and order. At Dili's request, an Australian-led International Stabilization Force (ISF) deployed to Timor-Leste in late May. In August, the UN Security Council established the UN Integrated Mission in Timor-Leste (UNMIT), which included an authorized police presence of over 1,600 personnel. The ISF and UNMIT restored stability, allowing for presidential and parliamentary elections in April and June 2007 in a largely peaceful atmosphere. In February 2008, a rebel group staged an unsuccessful attack against the president and prime minister. The ringleader was killed in the attack and the majority of the rebels surrendered in April 2008. Since the unsuccessful attacks the government has enjoyed one of its longest periods of post-independence stability.
Southeastern Asia, northwest of Australia in the Lesser Sunda Islands at the eastern end of the Indonesian archipelago; note - Timor-Leste includes the eastern half of the island of Timor, the Oecussi (Ambeno) region on the northwest portion of the island of Timor, and the islands of Pulau Atauro and Pulau Jaco
Timor comes from the Malay word for "East"; the island of Timor is part of the Malay Archipelago and is the largest and easternmost of the Lesser Sunda Islands
note:administrative divisions have the same names as their administrative centers (exceptions have the administrative center name following in parentheses)
28 November 1975 (independence proclaimed from Portugal); note - 20 May 2002 is the official date of international recognition of Timor-Leste's independence from Indonesia
On 29 March 2009 the president promulgated the Timor-Leste penal code; UN-drafted legal system based on Indonesian law remains in place for civil codes but is to be replaced by civil codes based on Portuguese law; these have passed but have not been promulgated; has not accepted compulsory ICJ jurisdiction
chief of state: President Jose RAMOS-HORTA (since 20 May 2007); note - the president plays a largely symbolic role but is able to veto legislation, dissolve parliament, and call national elections
head of government:
Prime Minister Kay Rala Xanana GUSMAO (since 8 August 2007), note - he formerly used the name Jose Alexandre GUSMAO; Vice Prime Minister Mario Viegas CARRASCALAO (since 5 March 2009); Vice Prime Minister Jose Luis GUTERRES (since 8 August 2007)
elections:
president elected by popular vote for a five-year term (eligible for a second term); election last held on 9 April 2007 with run-off on 8 May 2007 (next to be held in May 2012); following elections, president appoints leader of majority party or majority coalition as prime minister
election results:
Jose RAMOS-HORTA elected president; percent of vote - Jose RAMOS-HORTA 69.2%, Francisco GUTTERES 30.8%
Supreme Court of Justice - constitution calls for one judge to be appointed by National Parliament and rest appointed by Superior Council for Judiciary; note - until Supreme Court is established, Court of Appeals is highest court
Democratic Party or PD [Fernando de ARAUJO]; National Congress for Timorese Reconstruction or CNRT [Xanana GUSMAO]; National Democratic Union of Timorese Resistance or UNDERTIM [Cornelio DA Conceicao GAMA]; National Unity Party or PUN [Fernanda BORGES]; People's Party of Timor or PPT [Jacob XAVIER]; Revolutionary Front of Independent Timor-Leste or FRETILIN [Mari ALKATIRI]; Social Democratic Association of Timor or ASDT [Francisco Xavier do AMARAL]; Social Democratic Party or PSD [Zacarias Albano da COSTA]; Sons of the Mountain Warriors or KOTA [Manuel TILMAN] (also known as Association of Timorese Heroes)
red, with a black isosceles triangle (based on the hoist side) superimposed on a slightly longer yellow arrowhead that extends to the center of the flag; a white star is in the center of the black triangle
In late 1999, about 70% of the economic infrastructure of Timor-Leste was laid waste by Indonesian troops and anti-independence militias. Three hundred thousand people fled westward. Over the next three years a massive international program, manned by 5,000 peacekeepers (8,000 at peak) and 1,300 police officers, led to substantial reconstruction in both urban and rural areas. By the end of 2005, refugees had returned or had settled in Indonesia. The country continues to face great challenges in rebuilding its infrastructure, strengthening the civil administration, and generating jobs for young people entering the work force. The development of oil and gas resources in offshore waters has greatly supplemented government revenues. This technology-intensive industry, however, has done little to create jobs for the unemployed because there are no production facilities in Timor. Gas is piped to Australia. In June 2005, the National Parliament unanimously approved the creation of a Petroleum Fund to serve as a repository for all petroleum revenues and to preserve the value of Timor-Leste's petroleum wealth for future generations. The Fund held assets of US$5.3 billion as of October 2009. The economy has been little impacted by the global financial crisis and continues to recover strongly from the mid-2006 outbreak of violence and civil unrest, which disrupted both private and public sector economic activity. The government in 2008 resettled tens of thousands of an estimated 100,000 internally displaced persons (IDPs); most IDPs returned home by early 2009. The underlying economic policy challenge the country faces remains how best to use oil-and-gas wealth to lift the non-oil economy onto a higher growth path and to reduce poverty.
note:the government in 2008 moved to a fiscal year calendar; it passed a supplementary spending package to cover the latter half of 2008 (FY06/07 est.)
general assessment: rudimentary service limited to urban areas
domestic:
system suffered significant damage during the violence associated with independence; extremely limited fixed-line services; mobile-cellular services and coverage limited primarily to urban areas
international:
country code - 670; international service is available in major urban centers
Timor-Leste-Indonesia Boundary Committee has resolved all but some sections of border along Timor-Leste’s Oecussi exclave; maritime boundaries with Indonesia remain unresolved; many refugees who left Timor-Leste in 2003 still reside in Indonesia and refuse repatriation; in 2007, Australia and Timor-Leste signed a 50-year development zone and revenue sharing agreement in lieu of a maritime boundary
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