Transition & reconstruction

East Timor learns how to go it alone

Washington Post - October 12, 2003

Alan Sipress, Dili -- "Turn around!" the police cadet barked. "Get on your knees! Cross your legs!" The suspect dropped to the hot asphalt and obligingly stretched his arms behind him. The cadet grabbed a wrist. But as he produced a set of handcuffs, he fumbled with the mechanism. The cadet, sweat soaking his white T-shirt and fraying olive green pants, paused and then tried again, finally snapping the cuffs into place.

A UN instructor, watching the exercise at the East Timor Police Academy, shook his head. Most of those who become East Timor's finest get only three months to learn the skills of policing in this newly independent country, hardly long enough to unlearn the lessons of 24 years of Indonesian occupation.

"They ask us, if they have trouble with a suspect, can they use force? We tell them force is a last resort," said Abang Jemat, a UN police trainer from Malaysia. "But they say, if in Indonesian times they could use force on a suspect, why can't we do that?" By many measures, it should be straightforward for the United Nations to assemble a force of only 3,300 officers to police a country whose entire population of 800,000 is smaller than Montgomery County's. But the task, like others in 17-month-old East Timor, has proved unexpectedly challenging.

At a time when US reconstruction efforts in postwar Iraq are focusing the world's attention on nation-building, the far more modest task of establishing a new state in East Timor offers a cautionary lesson. East Timor has wrestled to create the instruments of law and order and a democratic political culture -- both of which are priorities in Iraq.

"East Timor is probably the easiest laboratory case you could imagine for nation-building. East Timor had everything going for it, and we're still struggling with it," said Colin Stewart, a UN official who worked on setting up the new nation's government and political system. "Most people say it has gone well, but below the surface you're paddling like mad."

The task here would seem so much simpler than that of rebuilding Iraq. Not only is its population one-thirtieth the size of Iraq's, this overwhelmingly Roman Catholic country is free of religious and ethnic divisions. And in President Xanana Gusmao, often called the Nelson Mandela of East Timor, the country has a strong, popular, unifying leader.

The UN forces that helped usher the Indonesians out of East Timor were widely cheered by residents and had broad international backing. As a result, the mission had a local legitimacy that the US mission lacks in Iraq, where American soldiers are increasingly under attack.

Indonesia withdrew from East Timor in 1999 amid a final paroxysm of killing, burning and looting by pro-Jakarta militias. The United Nations ran the country for the next 21/2 years, a period that could seem like forever to Iraqis pressing for a rapid transition. "Even that, some people said it was a rush job," said Sukehiro Hasegawa, UN deputy special representative in Dili.

Many buildings are still burned-out shells, though families and shopkeepers have moved in among the ruins. In the countryside, about 110,000 people could face starvation by the end of this year unless they receive emergency aid, the World Food Program recently warned.

The most daunting task, however, has been teaching the East Timorese to take charge of their own affairs and manage a modern democracy.

While the police, for instance, are outfitted in crisp blue uniforms and equipped with service pistols, batons and pepper spray, the rookie department is struggling to shake an inherited culture of brutality.

In December, edgy, inexperienced police officers opened fire on anti-government protesters, fueling riots that left at least two people dead and dozens injured.

"Many people complain about the police," said Inspector Jose Soares, a former government clerk now in charge of training at the academy after only two years in uniform. "What they implement in the field is only what they know."

On a recent morning, the crackle of a police radio carried across the dirt field behind the academy. "Comoro base, Comoro base, this is unit 51. Over." "Unit 51, what is your message? Over." "Comoro base, there has been an accident. A motorcycle traveling at a high rate of speed has a struck a woman. She's injured. Over."

As a pair of cadets recited this scenario from printed sheets, 48 other students in the class sat silently on bleachers, waiting their turn. Though the curriculum calls for four hours of practice in communications before graduation, only two police radios were available, so cadets each received less than 10 minutes of hands-on experience -- if they got any. Nearly an hour before the lesson was scheduled to finish, the batteries went dead. Class was dismissed.

At the police headquarters in Baucau district, gasoline shipments are often delayed, forcing officers to park their new cruisers and motorbikes for up to a week at a time and move around town on bicycles, according to Inspector Pedro Belo, the district commander.

It is the court system, however, that most frustrates the police, as well as foreign officials, who say that a lack of trained judges, lawyers and court administrators has left the judicial system a shambles. Until 1999, these posts were filled by Indonesians, and the process of training East Timorese to replace them takes years of special training.

There is no prosecutor resident in Baucau, the country's second- largest city. So when a suspect is arrested, the police must pile him and the witnesses into a car within 72 hours and make the nearly three-hour drive to Dili to present the case, police said.

In all areas of the government, Indonesians were the administrators and technical experts. Their withdrawal left a vacuum. Some foreign officials say Iraq is fortunate by comparison, because it has long had a broad class of managers and technicians. But others counter that East Timor is free of the tensions inherent in trying to reconcile elements of the old regime with the new one.

"It is unique because it started from scratch," said Ronald Isaacson of the World Bank.

But as in Iraq, few here have any experience with democratic rule. Foreign development organizations are training legislators about constituent services and party activists about crafting campaign platforms.

Maria Antonia, a mother of six, is participating in a US-funded program to learn the quintessential skill of modern democracy: lobbying. During the Indonesian occupation, residents rarely asked the government for services, fearing they would be ignored or, worse, invite the scrutiny of intelligence agents.

With drinking water running low in three villages in her district of Liquica, Antonia overcame her trepidation, helping petition the local government last year for a new tank and a pipe to carry water from the river. Local officials referred the request to a national ministry. National officials said they were broke. Months passed.

"We were surprised that the government couldn't guarantee when they might help us," she said. "We had to learn to keep checking with them all the time."

Finally, the government and a private group supplied materials for the water system. Villagers volunteered their labor. Antonia put a notch in her lobbyist's belt. "This is all very different for us," she said, "and it's frustrating."

East Timorese struggling for survival

Washington Post - October 8, 2003

Alan Sipress, Laga -- On a narrow road strung perilously along a rock ledge above the beach, Cornelio Gama stopped his jeep and motioned to the spot where his rebel band had ambushed a column of three dozen Indonesian soldiers.

"This is where we destroyed them," Gama recounted, his wild, unkempt hair standing on end in the sea breeze, the fingers of his outstretched hand turned into stubs years ago by an Indonesian grenade. "We killed them all," he continued, relishing the 23-year-old memory. "We took their guns. We took their money. We didn't lose a single man."

But today, a year after East Timor gained independence, this resistance commander is waging a losing battle along the same stretch of road. The fields of corn he planted last season have been ravaged by drought. The coconut palms are blighted, sickly brown leaves dangling from the lower reaches. The yield from his rice paddies is barely enough to provide for the former guerillas he has taken under his wing because they cannot find work.

"Our dream was to get independence, but the reality is so different than what we thought because we're short of everything," said Gama, 58, a slight man with a bushy mustache that wraps around his jowls. "Our mission was to win our liberty. Now it's the mission of the government to build the country. We are waiting for the government, but nothing has happened."

Known by his nom de guerre, Commandante L7, a reference to a long-lost ancestor, Gama now leads a secretive, quasi-religious movement of former rebels and other followers that fuses Catholic and animist practices. The villagers in this remote eastern end of the country believe he has magical powers.

But he also gives voice to the frustrations of a population that has seen the idealism of its 24-year struggle against Indonesian occupation run aground on the realities of independence in one of Asia's poorest lands. Two out of five people in East Timor live on less than 55 cents a day, deemed the bare minimum for food, clothes and housing. Three-quarters of the population of about 800,000 is without electricity and half is without safe drinking water, according to the World Bank.

"These are tough times and not just for me, but for all the people," Gama said.

The sacrifices to reach this point were tremendous, especially for the fighters of the National Liberation Armed Forces of East Timor, known as Falintil, who took to the jungle after Indonesia's 1975 invasion. Of the 152 guerrillas from his village, Gama said, only he and four others survived. His three sisters and two of his three brothers were killed. For years, he said, he subsisted on leaves, berries and the occasional meal smuggled into camp by sympathetic villagers. He saw his wife only during trysts in mountain caves arranged by clandestine go- betweens.

It is impossible to confirm the details of his travails or his battlefield exploits. But fading tattoos on his arms and chest attest to his passion: the national flag, an open Bible and a figure crying "Revolution!" The four stub fingers on his mutilated left hand were long ago healed with traditional medicine from tree bark.

What Gama said he needs now is a tractor for his rice fields, but the government has not made one available. He has asked officials to spray the diseased coconut palms, but again, no response. He has urged them to collect the bodies of fallen rebels and build a proper cemetery. And he has appealed for the government to provide jobs for those who survived. Officials have pleaded poverty.

"My followers fought for our liberty," he said. "We're asking that the government pay attention to them so their families can live."

Gama has found room for a few unemployed followers inside the creaky metal gates of his hilltop compound, overlooking a brown expanse of barren rice fields rambling down to the teal-blue sea.

Hector Alves, a stocky 30-year-old with a short black beard, is one of several veterans languishing in the shadows of the compound. Shirt off, belly hanging over the waist of his jeans, he waits for odd jobs: driving Gama to town, helping in the rice paddies.

After joining Gama's forces, Alves had hoped to be rewarded with employment. But his time in the jungle -- and the tattoo of East Timor across his chest -- were not sufficient credentials. He has been turned down for government jobs given to others, including some who he says collaborated with the Indonesians. And he is bitter about those East Timorese who have found work with the United Nations or foreign development organizations.

"In the past, if I had learned to speak English or Portuguese, I could have a job," he said, scowling. "But instead I sacrificed myself for the resistance."

Some conditions have even deteriorated since the Indonesians withdrew. In an effort to subdue East Timor, the Indonesians sought to win popular favor by subsidizing a bloated civil service of local workers that is no longer affordable, according to local and international officials. Indonesia also provided cut-rate electricity and offered guaranteed prices to rice farmers that the new government cannot match, officials said.

To ensure that the military could operate in East Timor, Indonesia maintained the roads. Now, many of them are cratered and partly washed out by heavy rains, making it difficult for farmers to get their produce to market.

East Timorese officials say they are aware of the seeping disappointment. "We have a frustration with the lack of understanding by our people, and by some leaders outside government, about what development takes," said Jose Teixeira, secretary of state for tourism, the environment and investment. "Their expectations are far too unrealistic."

In recent months, officials have toured the countryside to speak with villagers about their needs. President Xanana Gusmao has established two committees to address the specific, potentially explosive complaints of veterans.

Aware that Gama's following could make him a dangerous adversary, Gusmao last month spent the night at the commandante's compound, reviving a relationship that dates to their school days. The government has also sought to win Gama's loyalty by naming him as a consultant to the Interior Ministry, a job with few responsibilities but one that comes with a salary and an Indian- made jeep, according to foreign officials.

Some former fighters have already declared outright opposition to the government, stoking fears among officials that they could face a new insurgency. Other veterans, by contrast, have been integrated into East Timor's modest military.

Gama has so far struck a middle course, maintaining a distance from politics. He has other things on his mind -- not least of which is rock salt.

Last week, he led several visitors across his yard, past a pair of chickens pecking in the dust, to a corrugated metal shed. Inside, he stood before a mountain of salt crystals, reached over to grab a fist-size chunk and shook his head glumly.

Each year, at the end of the dry season, villagers harvest the glistening white rocks from a salt lake about five miles away. Hoping for a bountiful yield, they sacrifice a buffalo, a goat and 17 chickens on the whitened shores. But these mystical rites do little to address the mundane concerns of getting the salt to market.

Gama trucked tons of the rocks back to the compound last year with the plan of selling it commercially, perhaps exporting it to Australia, only to discover he had no way of processing the crystals. "I need a machine to crush it," Gama said. "We asked the government for a machine and they said they would arrange one for us. But so far, nothing."

Labour issues

Australian union official arrested during industrial row

Radio Australia - October 8, 2003

A bitter industrial dispute in East Timor has taken a turn for the worse, with the arrest of an Australian trade union official by United Nations police. The official was taking part in a protest at Dili Airport on Sunday, organised by striking East Timorese employees of Timor Aviation Services. The Australian Council of Trade Unions claims the arrest is unprecedented, and the UN has interfered with the right to take industrial action.

Presenter/Interviewer: Kellie Day

Speakers: Sharran Burrow, President of the Australian Council of Trade Unions (ACTU); Zito de Costa, President of the East Timor Trade Union Council (KSTL); Alan King, Deputy Commissioner of Operations UN Police in East Timor; Tony Penna, Managing Director of Timor Aviation Services in Dili

Day: Mick Killick is a union organiser with Australia's International Transport Federation, who's been working with East Timor's Trade Union Council, the KSTL. On Sunday morning, he was arrested by United Nations police, during a protest at Dili airport, by employees of Timor Aviation Services. The President of the Australian Council of Trade Unions, Sharran Burrow, says Mr Killick took part in a legitimate, peaceful protest and his arrest was unwarranted.

Burrow: To have someone arrested for legitimate activity and held without charges seems to us to be incredible. But it does appear that this is at the level of harrassment rather than the level of significant or serious breach of any legal statute.

Day: For six months, management of Timor Aviation Services has been negotiating with workers, who want a collective bargaining agreement setting out their employment conditions and entitlements. But last month amid discussions, two workers were sacked when they refused to unload an aircraft that arrived unscheduled during their shift. After mediation, East Timor's Labor and Solidarity Department recommended the company reinstate the workers. But Timor Aviation Services refused, prompting the beginning of a strike and protest action by the company's 13 local employees last Friday. The company's managing director, Tony Penna, claims the protesters tried to hinder Timor Aviation's operations, prompting UN police to step in.

Penna: There are a number of people whose bags were grabbed and whose arms were grabbed by the protestors to stop them when they were pushing their way through into the airport. They were told very clearly that they couldn't do that that the airport must still operate that passengers must still be allowed to enter the airport but they made a very serious attempt to stop people entering the airport.

Day: Mick Killick's arrest has been a hot topic of discussion among union officials at the International Labor Organisation's Asia Pacific regional conference in New Zealand. They've passed a motion condemning the UN police in East Timor, for what they call unprecedented action to arrest and detain union officials. Sharran Burrow from Australia's ACTU believes the UN police have overriden the right to take legitimate industrial action.

Burrow: Certainly from our perspective it looks like the UN police have crossed the line. So yes we would ask why it is that the UN police have involved themselves in industrial issues and secondly why it is that someone would be held for 72 hours without release either into custody or on bail.

Day: Local union officials in East Timor say the situation is made worse by the fact that local East Timor police saw no reason to intervene in the dispute. Zito de Costa is the president of the KSTL.

De Costa: So UN have to take action on this otherwise the UN institutions will be bad for East Timor people because now we are starting democracy to express our idea, but then the police want to stop democracy. We can't tolerate on this.

Day: Union officials in East Timor want to know if business dealings between Timor Aviation and the UN had anything to do with Mr Killick's arrest. In September, the company took on a 10 month contract to load and unload UN aircraft at Dili airport. The UN police deputy commissioner of operations in East Timor, Alan King, has dismissed that suggestion. He alleges the Australian assaulted one of his officers and he's confident the UN police have done nothing wrong.

King: I have worked here for some time now and they are very very resilient and they do not jump to situations or jump to conclusions of situations. And I think the officer concerned is a very experienced officer who's worked in many places around the world.

Day: The ongoing dispute at Timor Aviation Services shows the difficulties East Timor's government and community face in setting up systems covering matters such as industrial relations. Sharran Burrow from the ACTU says progress is slow but patience is necessary.

Burrow: If you're asking a worker's representative, i.e me, is it fast enough I'd say no but on the other hand we're very sympathetic because it's an incredible task isn't it to set up a whole legal system, to establish a government in transition so of course while we would be impatient we're also respectful of the fact that the commitment to the law, the intentions around legal procedures, the process to set up an arbitration court, those things are in place and we wish them well.

Row erupts as UN police jail Australian unionist

Melbourne Age - October 8, 2003

Paul Robinson -- An Australian union official has been jailed in East Timor by United Nations police after a demonstration outside a local airline office owned by Australian travel company executives.

The ACTU protested yesterday to UN Secretary-General Kofi Annan, the International Labor Organisation and Australia's consulate in Timor after the unionist, Michael Killick, was removed from a picket line at Dili Airport and jailed on Sunday. He was charged with assaulting an UN policeman.

ACTU president Sharan Burrow said yesterday from an ILO conference in New Zealand: "It's now an international incident. The arrest of Mick Killick is an amazing over-reaction and one that we believe cannot be justified, particularly from an organisation which supports collective bargaining."

According to the International Transport Workers Federation, the dispute flared because Timor Aviation Services, which handles baggage, sacked unionists shortly after being awarded a major contract to manage flights for UN staff. Mr Killick is a Maritime Union official.

Ms Burrow said the UN had no business in local industrial disputes. "What is the UN doing putting an Australian union official in jail?" We have been told it was a peaceful assembly outside the office of Timor Air, which has refused to collectively bargain with its workers in good faith." She said other unionists at the Dili Airport picket had assured her the protest was peaceful and Mr Killick, the only Australian, had been plucked from the group.

TAS director Tony Penna said from Dili Mr Killick had been arrested after he scuffled with UN police during the picket. Late last night the UN said Mr Killick had been freed on bail.

West Timor/refugees

Students, refugees protest corruption report in Kupang

Jakarta Post - October 1, 2003

Yemris Fointuna, Kupang -- Hundreds of students and East Timorese refugees continued their demonstrations on Tuesday at the East Nusa Tenggara legislative council following the reported misuse of funds intended for the refugees.

The report, released recently by the Development Finance Comptroller (BPKP), revealed indications of corruption involving billions of rupiah from assistance funds for East Timorese refugees in the province.

The protesters demanded that the provincial administration and the National Coordinating Agency for the Handling of Natural Disasters and Refugees come clean about the use of the funds, including around Rp 53 billion (US$6.2 million) provided by Japan for the resettlement of the East Timorese refugees and the provision of healthcare facilities.

A total of Rp 120 billion in emergency funds and Rp 47 billion for the evacuation of refugees had also been misused, they said.

Protest coordinator Sipriano Soares Babo said an independent team should be established to investigate the alleged graft.

The protesters also rejected the government's move to relocate the East Timorese refugees from camps in West Timor to new resettlement areas, which they said were uninhabitable.

"Our brothers who were resettled there are now returning to their original camps because the houses given to them were not fit for human beings," said Antonio de Araujo, a refugee from Noelbaki who joined the protest. "Aside from that, there is no clean water or economic resources," he added.

The demonstrating refugees also opposed efforts to repatriate them to East Timor and reconcile them with pro-independence East Timorese, saying they had decided to remain Indonesian citizens.

They threatened to occupy the council building and stay there until the government responded to their demands.

Early last week, dozens of students staged a rally at the same building to protest against the alleged corruption. They remained camped out in its grounds for two days.

Timor Gap

Tower of Babel before parting Timor Sea

The Australian - October 7, 2003

Gel Wilson -- Australian officials expect talks on a maritime boundary between Australia and East Timor to be "long and intricate".

The issue is a major test of Australia's relations with the new country, with ownership of oil and gas reserves worth billions of dollars at stake.

Foreign Minister Alexander Downer and East Timor president Jose Ramos Horta agreed on a starting date of November 10 during discussions last month Australian officials do not expect a quick outcome. "This story is going to be around for a while. The talks are going to be long and intricate," one official said.

East Timor has been pressing Australia to establish a maritime boundary since before its independence in May last year. It argues existing boundaries are irrelevant, because they are based on agreements Australia struck with Indonesia in the 1970s and 1980s.

Agreements covering the $US3 billion development of the Bayu Undan gas reserves and the potential development of the Greater Sunrise reservoirs are regarded as temporary by East Timor.

East Timor's parliament passed a maritime boundaries law in July last year claiming a 200 nautical mile exclusive economic zone.

In March last year Australia gave formal notice it was withdrawing from international legal mechanisms to resolve boundary issues.

Justice & reconciliation

East Timor indicts 18 for crimes against humanity

Reuters - September 26, 2003

Jakarta -- East Timor prosecutors have indicted 18 people for crimes against humanity, including two Indonesian military officers, in connection with violence surrounding its 1999 vote for independence.

The tiny country's serious crimes unit said on Friday the 18 were indicted for crimes ranging from murder to torture and persecution.

As well as the two Indonesian officers, those indicted include four East Timorese who were Indonesian soldiers at the time of the vote to break away from Indonesia, the unit said in a statement.

According to the United Nations about 1,000 people were killed before and after the UN-supervised vote in August 1999, in which the people of the former Portuguese colony voted overwhelmingly in favor of independence.

Pro-Jakarta militias, with support from sections of the Indonesian military, were blamed for most of the violence.

Twelve former militia members were among those indicted. All of the accused are believed to be at large in Indonesia, which has refused to send anyone accused by East Timor courts of human rights violations back to East Timor to face charges. East Timorese law does not allow people to be tried in absentia.

Indonesian officials say they have no agreement to extradite the accused. Indonesia has instead set up courts in Indonesia to deal with human rights charges over East Timor.

But rights groups have criticized the Indonesian tribunals for considering charges against less than 20 people, and convicting only a handful of them.

East Timor, which became independent in 2002 after a UN- administered transition period, has filed 75 indictments against 333 people. Thirty-five have been convicted.

The serious crimes unit said 246 of the accused are at large in Indonesia.

Timor accuses members of Indonesian army of attacks

Agence France Presse - October 7, 2003

Dili -- Prosecutors in East Timor on Tuesday charged 17 Indonesian and East Timorese members of the Indonesian army with murderous attacks on independence supporters and other civilians.

The United Nations-funded Serious Crimes Unit (SCU) accused them of taking part in an organised campaign of violence against the civilian population of Baucau district between 26 March and 12 September 1999, in the run-up to and after the territory's vote in August that year to break away from Indonesia.

The indictment charged 17 individuals with a total of 14 counts of Crimes Against Humanity including "murder, torture, persecution and other inhumane acts."

The accused Indonesians were Lieutenant Colonel Richard Hutadjulu, who was the military commander in the Baucau district, his deputy Captain Karel Polla and Sergeant Irwan, formerly a first sergeant with the intelligence section of Baucau Military Command.

Also accused is Joanico Belo, an East Timorese sergeant serving with the Kopassus special Indonesian forces who was also the commander of the East Timor Integration Fighter Forces (PPI) for Eastern East Timor and the head of the Tim Saka paramilitary group in Baucau district in 1999.

The Baucau indictments specifically mention the murders, allegedly by soldiers, of a total of six pro-independence supporters and two women in several places in March, May and September 1999.

The Baucau military commander and eight other soldiers are charged with the torture of five independence supporters.

SCU Prosecutors allege that the Tim Saka paramilitary group was established by the Indonesian military in Baucau district in the early 1980s and were armed, trained and funded by the military.

During 1999 it received direct orders from military commanders and the Baucau military intelligence section, including instructions to attack independence supporters.

It said all the accused are believed to be in Indonesia and arrest warrants would be forwarded to legal authorities in Jakarta and to Interpol.

Prosecutors in East Timor have now charged 367 people including top Indonesian officers over atrocities in the territory in 1999 but 280 of them remain at large in Indonesia.

Jakarta, which refuses to hand anyone over to East Timor prosecutors, conducted its own rights trials over the 1999 atrocities but these were widely seen as a whitewash.

Militias armed and organised by the Indonesian military carried out a campaign of terror before the independence ballot and then a vengeful scorched-earth policy that left much of the territory in ruins.

At least 1,000 people were killed in 1999 and more than 200,000 people were forced across the border into West Timor. Most have now returned. After 31 months of UN stewardship, East Timor became independent in May 2002.

International relations

Timor 'thrilled' over Dr Mahathir's impending visit

New Straits Times - October 1, 2003

Singapore -- Timor Leste President Xanana Gusmao said Prime Minister Datuk Seri Dr Mahathir Mohamad would make a two-day visit to the country beginning October 22.

He said a high-powered delegation of entrepreneurs would accompany Dr Mahathir. "Dr Mahathir's visit is a great honour to the people of Timor Leste. We are very excited about the visit," he told the New Straits Times in an interview arranged by the Malaysian High Commissioner here, Datuk P. Parameswaran, who was Chief of Staff of the United Nations Transitional Administration in Timor Leste (Untaet) from 2000 to 2002.

Gusmao, here on a private visit, gave a luncheon talk organised by a private company, where he was given the "Leadership with Integrity Award". Singapore's Ambassador-at-large, Prof Tommy Koh, was present. Gusmao leaves for Kuala Lumpur tomorrow for a two day unofficial visit.

He said Dr Mahathir's visit, although arranged about a year ago, was shelved several times. "We are thrilled that he has kept his word to visit Timor Leste, even though we are one of the poorest countries in the world. The visit is a reflection of the Prime Minister's stature as a statesman," he added.

Gusmao said he was a great admirer of Dr Mahathir. "He stands up for the Third World. He speaks his mind on issues which others don't dare to touch on. His fighting spirit and courage is worthy of admiration. This is one reason why we are looking forward to his visit," he said.

Gusmao said Malaysia was a "close friend" of Timor Leste, which broke away from Indonesian rule in August 1999 and became independent on May 20 last year. He said of all the countries in Asia, Timor Leste found the "Malaysian model" of national development and natural resource management most suitable for adaptation.

He hoped Dr Mahathir's visit would open new avenues for greater assistance, co-operation and investments by Malaysian industrialists in the poverty-stricken country. Timor Leste is also seeking Malaysia's support for it to be included in the Asean Regional Forum and as an observer in Asean.

Timor Leste Prime Minister Dr Mari Alkatiri led a 27-member delegation on a working visit to Malaysia last month.

Economy & investment

Timor struggles to find ways to survive economically

Associated Press - September 30, 2003

Singapore -- East Timor, the world's youngest nation, is struggling to find ways to achieve economic survival and needs external investment, President Xanana Gusmao said Tuesday.

One of the poorest countries in the world, East Timor is still looking for strategies to make itself self-sufficient, Gusmao said in a speech to business people in Singapore where he appealed for foreign investment.

"It is a problem now when we talk about nation-building, when we talk about survival of East Timor," Gusmao said. "How can we survive? Investment for internal market? No way, our people live for less than 50 cents a day. With Indonesia how can we compete?"

A weak police and judicial system and lack of education are among the main obstacles for investment, he said. "Sometimes people say I am trying to discourage investors by talking about lack of laws, but they will come, and if I say everything is good they will say: 'He lied to us."'

After Gusmao's speech, Singapore's Ambassador-at-Large Tommy Koh spoke in support of investing in East Timor, saying the country had "the best coffee in the world," untapped oil and gas deposits and a large low-wage labor force.

The United Nations formally recognized East Timor in September 2002 after centuries of Portuguese rule and years of often brutal Indonesian occupation. East Timor voted to become independent in August 1999 in a UN-sponsored referendum.

The Indonesian military and its proxy militias responded by laying waste to the former province, killing 1,500 Timorese and forcing 300,000 from their homes.

Local media monitoring

East Timor local media monitoring

UNMISET - September 22-October 8, 2003

Suara Timor Lorose reported that on last Friday the Border Patrol Unit (BPU) was attacked by an alleged group of former militias. The article said that the group attacked BPU at 18.00 pm near the Mojong market within Timor-Leste area. The article said that they had confirmed the news from a credible BPU source who refused to disclose his identity. He said that the patrol unit was attacked by a group of alleged militias. They made a sudden attack on the patrol unit with poison arrows. The source also said that the militia group also was carried machetes and automatic guns. The incident resulted in one BPU member being injured and one of the alleged militia died. The article added that the injured BPU member was transported by helicopter to Dili. Meanwhile the corpse of the alleged militia was taken to Dili.

UNMISET spokesperson, Marcia Pole, told reporters on Friday that UNMISET will hold a workshop on "climate change in Timor-Leste" on next Thursday in Dili. Ms Pole said that the weather in Timor-Leste has changed during the last two years and it will influence agriculture planning activities. She said that in certain regions, Timor-Leste will face moderate rainfall or even high density of rainfall, while in other regions it may suffer rain short falls.

The resident representative of the Asian Development Bank in Timor-Leste, Mrs Meja Hamm, said that in order to assist Timor- Leste's development after the 1999 total destruction, the Asian Development Bank (ADB) in Timor-Leste has channeled US$9 million of a total US$52 million grant. Mrs Hamm said that currently ADB is managing 6 projects, including infrastructure, Power Stations, Hera and Dili Harbor, Micro finance, Water Supply, and Road Rehabilitation Project in the districts.

The Timor Post said that the President of the Social Democratic Party (PSD), Mr Mario Viegas Carrascalao, said that his party is ready to assume the responsibility of governing this country if the people trust them to do so. Mr Carrascalao spoke to reporters after the commemoration of PSD's third anniversary on Saturday at My Field Hotel in Bairro Pite. Mr Carrascalao said that a strong Government is a Government that embraces all the segments of one that is of the society capable of serving the interests of the people.

Speaking at the inauguration of the International Relations Academy at Hotel Timor on last Thursday, the Minister of Foreign Affairs and Cooperation, Dr Jose Ramos Horta, said that when looking at the world map, Timor-Leste is looks like an ant. He said that despite Timor-Leste being so small, it can bite people and could create a constructive or destructive situation. Dr Horta said that the world 21st century's most urgent matter is United Nations Security Council reform. Dr Horta said that the world's current situation is different from the past. He said that the United States of America should led the reform of the UN Security Council.

Timor Post also reported on the border incident as per the STL report.

September 23, 2003

Suara Timor Lorosae reported that the Speaker of the National Parliament, Mr Francisco Guterres Lu-Olo, yesterday said that he will send an invitation letter to the President of the National Assembly of Mozambique to visit Timor-Leste to foster bilateral cooperation. Mr Lu-Olo made this statement after holding a meeting with the Ambassador of Mozambique to Timor-Leste, Mr Antonio Geraldo C. Damaso, at his office yesterday. Mr Lu-Olo also said that the agenda for the visit will be decided by his counterpart in Mozambique.

The Commander of the Ainaro District police, Arquimino Ramos, said that on Friday and Saturday his unit had arrested 3 of the 6 suspects who allegedly ambushed vehicles in the Ainaro area. Police arrested 3 of them in the aldeia of Kolaku, Suco Nunumoge -- Sub District of Hatubuilico. The other 3 are still at large. Mr Ramos said that the interrogation results found that the 3 suspects confessed their robbery. They said that the motive for their actions are fundamental social and economic problems. Mr Ramos said that police will bring the accused to face court.

In a plenary session of the National Parliament, Mrs Maria Paixao, member of the Parliament from PSD, yesterday said that UN staff (UNPKF, UNPOL and UNMISET) who impregnate East Timorese women during their job assignment in Timor-Leste should be responsible for the children they father. She said that East Timorese women had suffered a lot. She asked State Institutions and civil society organizations to draw their attention to this matter.

The Timor Post said that Julio Thomas Pinto, a military and political observer, said that President Xanana Gusmao is currently working hard to consolidate the nation's unity by approaching pockets of the CPD-RDTL across the country. He is seeking to convince them to accept the new situation in Timor- Leste. Mr Pinto said that President does not want to see the nation fragmented. He said that President Xanana's charisma was an important contributor to the success of the national unity because Xanana's charisma touches all people. Mr Pinto also said that President Xanana is starting a process of consolidation of the national unity to avoid national division after the withdrawal of the UN mission in Timor-Leste.

The Interior Vice Minister, Mr Alcino Barris, yesterday told reporters that the "border incident" is under investigation in Dili. He said that on Thursday evening [around 6pm], the BPU was conducting a patrol in the area around Junction Point [Maliana], where an illegal market often operates. They came across five people suspected of being illegal traders, crossing from West Timor into Timor-Leste. They confronted the group and one of the men shot an arrow at the BPU, injuring one officer in the leg. The BPU then opened fire in response.

One alleged militia was shot dead and the others fled across the border to West Timor.

September 24, 2003

Suara Timor Lorosae reported that the Commander of the F-FDTL, Gen Taur Matan Ruak, yesterday fired Lieutenant Domingos Agosto Deker. Present at the event were officials from the UN Peace Keeping Force from 10 countries. Gen Ruak said in his speech that the decision to dismiss Let Deker from the F-FDTL was not because he was involved in politics, but it was a disciplinary action. "This decision is not taken only by the F-FDTL, however the UNPKF also made considerations for this decision. It was an unavoidable decision" said Gen Ruak. The article said that Leut Deker was involved in several incidents of fighting between F-FDTL members and the PNTL in Dili and Baucau.

A member of the National Parliament from the Democratic Party, Mr Rui Menezes, yesterday told STL that the policy on use of state vehicles in the National Parliament is weak. Mr Menezes said that there is no consistency in using state vehicles for official purposes. He said that many vehicles were used for personal and party's use. He said that it is already public knowledge.

The Timor Post said that in response to the Opposition Parties criticism, the Speaker of the National Parliament, Mr Francisco Guterres Lu-Olo, said that Fretilin does not use Government facilities for the party's interest. Mr Lu-Olo said that in fact he is acting as the Speaker of the Parliament and President of Fretilin Party and the Prime Minister also is the Secretary General of the Fretilin Party and they use their extra time to gather with party members to share information.

(Opposition Parties criticized the ruling party for misusing state facilities for party purposes by holding district Fretilin meetings during open Government visits).

Timor Post also reported on the dismissal of Leut. Deker as per the STL report.

September 25, 2003

Suara Timor Lorosae reported that the Commander of the Border Patrol Unit, Abilio de Carvalho, said that after the death of Francisco Viegas Bereatu an alleged former militia who was killed in a cross border incident, there are rumors in the Bobonaro District that former militias will retaliate. The alleged militia said that they do not accept their leader's death. Mr Carvalho said that even though it is only rumors, the Border Patrol Unit and PNTL (with the UNPKF back up) and Indonesian military and police are prepared for any disturbances in the border.

STL reported on the clash between Customs and entrepreneurs who want to take their goods from the Customs' warehouse. The article said that entrepreneurs were concerned about the unfriendly service provided by the Customs. The entrepreneurs said that they had fulfilled all the requirements needed and could still not take their goods.

The Timor Post said that the Acting PNTL Commander, Julio Hornai, spoke to Timor Post that the border incident which resulted in 1 death does not affect the relationship between Timor-Leste and Indonesia. Mr Hornai said that the border incident is still under investigation. He said that the investigation was carried out jointly by the Timor-Leste's Border Patrol Unit and Indonesian Armed Forces (TNI). The investigation's results will be announced after the joint team complete their task.

Timor Post sought opinions relating to the dismissal of Leut. Domingos Agusto Deker from F-FDTL. Julio Thomas Pinto, a military and political observer said the dismissal of Leut Deker from F- FDTL is a clear message to PNTL not to protect members who have broken the law, even though Timor-Leste does not have yet its military law in place. Timor Post also interviewed a Parliamentarian member from PSD, Mr Vidal de Jesus Riak Leman, regarding the dismissal of Leut Deker. Mr Leman said that he thought that Gen Taur Matan Ruak's decision was sound, therefore this event serves as example for other institutions include PNTL to apply the same manner as the F-FDTL did to Leut. Deker.

September 27, 2003

Suara Timor Lorsae reported that the Interior Vice Minister, Mr Alcino Barris, said that people should judge the role of the National Police (PNTL) in creating order and stability in a balanced way. Mr Barris appealed to the community to see both sides of the PNTL, the positive and negative sides. He said that apart from its weaknesses, the PNTL has done a lot for this country.

On Wednesday the Commander of the Border Patrol Unit, Abilio de Carvalho Madeira, told STL that, based on intelligence information gathered, the Halilintar militia group (a group formed by the pro-integration militia commander, Joao da Silva Tavares) has built a compound in the Turiskain area near the border Mojong market. This is where the border incident had taken place. Mr Madeira said that from that compound it is easier for the Halilintar group to infiltrate Timor-Leste whenever they want. Mr Madeira also said that he has sent a letter to the Indonesian Army and Police at the border to remove the Halilintar group from that compound.

The Timor Post said that the Timor Telecom Administrator, Jose R. Jardim, yesterday told reporters in a press conference that in the 6 months of operation in Timor-Leste, Timor Telecom has spent US$12 million. Mr Jardim said that by the end of this year Timor Telecom will have spent US$22 million. He said that Timor Telecom is the major investor in Timor-Leste in terms of investment funds. During the press conference Mr Jardim was accompanied by the Timor Telecom Deputy Administrator, Mr Oscar Lima.

The Executive Director of the East Timor Study Group, Joao M. Saldanha, yesterday said that the border incident which resulted in one death will affect foreign investors' interest in Timor- Leste. Mr Saldanha said that the border incident could have an impact on Timor-Leste's stability, but it depends on how Timor- Leste and Indonesia undertake to overcome this situation. He added that the Government should inform the public that the incident will not affect the trade environment significantly.

September 29, 2003

Suara Timor Lorosae reported that the government's policy not to borrow from the World Bank is not effective and will not solve the current economic situation, said Oscar Lima from ATL (Association for Timor Leste entrepreneurs). He said that the government needs to borrow from World Bank and IMF because until now East Timor doesn't have its own income.

Mr. Lima said that as an example, Timor Leste's economy has declined by 5 % since UNTAET ended its mission.

Mr.Lima said that government's policy not to borrow from International institutions is not a good decision. The government needs IMF and the World Bank's assistance to rebuild East Timor and provide opportunities to people to get jobs.

Mr. Lima said in the last year, the economy has not grown and it will stay the same until the end of the UNMISET in 2004. He said the government is waiting for income from Timor Gap.

The Prime doesn't agree with Mr.Lima. The Prime Minister said the government doesn't have the resources or professionalism to manage loans funds which could lead to issues of KKN.

The President, Mr. Xanana Gusmao has receiving International Herald Tribune Visionary Leaders Award, recognizing his contribution to reconciliation and stabilization in East Timor. The President said this Award was for all the people of Timor Leste.

During his visit to Singapore, the President has also met with the Singaporian President, Mr. S.R.Nathan to about joint interests between the two countries. On October 1, the President will a give the speech to the international expo about Tourism, organized by the Assosiasaun Viagen Pasifiku (PATA). He also said 'we should build eco-tourism to develop our tourism industry.'

Dental health is part of good health for the whole and they can not be separated. This is according to the Vice Minister of health, Mr. Luis Lobato who was speaking at the Hospital Antonio de Carvalho, Lahane, Dili.

The workshop was organized to agree goals that will be implemented by the Health Department aimed to establish a basic framework for oral health. Attending the workshop dental nurses from 13 districts, heads of the district health centers and an adviser from Ausaid plus some dentist in.

Mr. Ananias Barreto, MM an economic lecturers at and the University of East Timor has said that the agriculture sector is important to East Timor, the government needs to give serious attention to agriculture, fisheries, tourism and agricultural sectors .

Mr. Ananias Barreto said the government must have good program to boost economic growth and the government needs to cooperative with NGO's . He said to maintain economic growth in the future, the government must support agriculture with more funding.

Mr. Ananias said the government needs generate policies in agriculture to provide opportunities for the people and support the agriculture sectors.

The Timor Post said that President Xanana said that UDT and the Fretilin party must ask forgiveness from the East Timorese people, because when UDT staged a coup in September, 11, 1975, the Fretilin party staged a counter coup. These coups made Timorese suffer and die because of a political principle.

The President said that the coups taught the leaders about democracy in (1975), but it was the people who suffered. The President said we should learnt from the past.

The President proposed to CPD-RDTL to follow the political process and support the government now. He said if CPD-RDTL wants to make war after May, 2004, as the head of the nation he is ready to fight.

Commenting on the President's claim Major Maubuti said that FDTL is prepared to fight with CPD-RDTL if a war broke out. He and the President were visiting the Baucau district at the time.

Timor Post also reported on International Herald Tribune Award to President Xanana as per the STL report.

September 30, 2003

Suara Timor Lorose reported that in response to Mr. Oscar Lima from ATL (Organization for Entrepreneurs), Rui Menezes (Democrat Party) and Clementino's ( KOTA ) appeals to the government to borrow from the World Bank and IMF, Mr. Tomas Freitas from NGO Lao Hamutuk said that the problem is not about debt but about the conditions that would govern the loans.

Mr. Freitas said if government borrows from the World Bank and IMF, East Timorese people would become slaves for international companies. As an example he cited the case in Indonesian and Argentina.

President Xanana Gusmao said that he did not wish to create controversy with the National Parliament over the immigration law.

The President said that the immigration law doesn't meet peoples needs and doesn't provide opportunity for people to act or theer own behalf. (This is not explained futher). The majority in Parliament( Fretilin Party ) says that The President Xanana wants to create controversy in the National Parliament.

The Government wants to use income from the Timor Sea to build school, health facilitates, and roads for the people, said the Assistant for the East Timor sea Communication Department Mr. Manuel Mendonca.

Total income during fiscal years 2002/2003 was US$26 million. Mr Mendonca said the future potential from Bayu Undan could be as much as US$ 100 million.

Mr Mendonca also said that the government would also use the income to save some money for East Timor's future needs.

The Timor Post said that Mr. Rui Menezes from PD party said he does not understand why he should be in Parliament to further debate the Immigration Law as it has already been passed as a law by the Parliament.

Mr Menezes also said that Mr Alcino Barris, Vice Minister for Internal Affairs, from the Government , should not have been present at a plenary session where articles 11 & 12 from the Immigration Act were being discussed. He said it should have been a forum just for Parliamentarians, not for the Government.

Other Articles on the Timor Sea also appeared on Timor Post. The story from yesterday's media monitoring about President Xanana's visit to Singapore were also in today's Timor Post.

October 2, 2003

Suara Timor Lorosae reported that Lao Hamutuk has said that all programs conducted by the World Bank, ADB and IMF are failures and the World Bank, ADB and IMF are not adding value in Timor -- Leste.

Opposition Calls for Loans Mr Rui Menezes, spokesperson for the Democrat Party (PD) and Mrs Maria Paixao, from the Democrat Social Party (PSD), have said that the government should take the loans from the World Bank, ADB and IMF. They agree with that the government that adequate resources manage the loans is an issue. Mr. Menezes said he believed there was expertise to manage loans funds outside of the Fretilin majority party and the Government should be looking beyond their own party. Mrs Paixao said that given the current economic condition, Timor Leste needs to borrow from the World Bank, ABD, and the IMF. If the government doesn't borrow, the country will not create economic growth, she said.

Commenting on the loans issue, researcher Mr Mateus Goncalves, said the World Bank and IMF does not help the people. He said they create suffering and economic collapse.

The President said that F-Falintil Forca Defesa de Timor Leste (FDTL) and the Indonesian National Force (TNI) will in the future make serious effort to build a working.Related to this issue Brigader General Taur Matan Ruak, said that he has met with Indonesian General Endriartono Sutarto. General Ruak said that during his meeting on September 9, he and General Sutarto talkedabout military and security relations.General Ruak said that the Indonesian military could with technical training for the Timor Leste military . General Ruak said this would be important when the UN-PKF leaves Timor -- Leste.

Mr Jacob Fernandes , the Vice President of the National Parliament, said that the National Parliament doesn't agree with the comment of Claudio de Jesus Ximenes, the President of the Court of Appeal. Mr Fernandes said that the immigration law is constitutional. The articles said that according to the Court of Appeal, articles 11 and 12 unconstitutional.Related to this issue Fretilin Party have that they want to save the national interest and support the Immigration Law.The Fretilin party want this Immigration Law approved because they say it will protect the people of Timor- Leste.The Judical Systems Monitoring Program (JSMP) said in another article about the Immigration Law that they believed the law was anti human rights and need to be changed.

A press release from the Department of Foreign Affairs says that the Minister, Jose Ramos Horta, will attend a meeting in the West Pacific to discuss and respond to terrorism threats in the West Pacific. In the same story, but an a different topic, the articles said Timor- Leste and Mexico have made diplomatic relation on September 26, 2003.

Mrs Maria Paixao, from the Democratic Social Party(PSD)said that the government needs to build factories in the West of Timor Leste, to boost the potential for coffee production in that region. Mrs Paixao said that to maximize coffee production the Government needs to be training the farmers.

Mr Jacob Xavier from the Timor People's Party (PPT) has said that PPT would travel to Ainaro to investigate the Case of Hatu- Udo. The Hatu- Udo case relates to Ainaro community protest about police conduct while arresting Saturnino over a property dispute.

In its lead story, Timor Post reports that D. Basilio do Nascimento, Bishop of the Diocese of Baucau and Dili said during a mass this week, that during the resistance times, the church in Timor-Leste was seen as an institution with lots of power that the people could use as part of their political campaign against Indonesia.D. Basilio went on to say that the Indonesian are no longer here and so people today are not putting the value they should on the church in Timor Leste.

Timor Post reports that the coordinator of CPD/RDTL, Antonio Ai- Tahan Matak, said that "CPD/RDTL will not create a new state". He was speaking at a media conference held this week.Mr Antonio said that his group, CPD/RDTL, wants the Democratic Republic of Timor-Leste self-govern with full control of state affairs, without any interference from the outside world. He said that currently UNMISET still controls defense, security, the economy and the justice system.

Marcelino Magno the coordinator from East Timor Study Group and Julio Tomas Pinto from Center for Strategic Studies and Scientism Investigation have said the Immigration Law is unconstitutional. They said the law is a "vacuum". They say it is incomplete and this will lead to problems.

Timor Post also reported about JSMP and Jocab Fernandes as a STL report.

October 3, 2003

Suara Timor Lorosae reported that Mr Rui Manuel Castro from the Chamber of Commerce and Industry ( KADIN-TL) said that the government doesn't need to borrow from The World Bank, ADB and IMF. Mr Castro is the former coordinator for Community Empowerment Program (CEP). He said that we must learn from Indonesia who has borrowed but cannot repay loans.

Mr Castro also said that he agree and support the Government policy to not borrow from the World Bank, IMF and ADB and hoped the government would stay consistent with this policy.

Timor Gap Comment Mr Alexander Cortereal from the People's Union Democtratic Party (UDT) said that he was confident that Timor Gap income would benefit Timor-Leste. Mr Cortereal said that he was afraid about the implementation. He's concerned about labour problems when East Timore working at Bayu Undan.

Mr Cortereal he hoped that the government could find good mechanisms to manage the Timor Gap income well.

The Border Control units be armed for self-protection,said Mr Jose Andrade, the delegate from the Bobonaro district in the National Parliament. Mr Andrade said that border between West Timor and Timor? Leste is very dangerous. Mr Julio Hornai, Deputy PNTL in border control said the situation on the border between Timor-Leste and West Timor is fine.

The Public Coordinator of the President Cabinet Team, Mr Miguel Manetelu, said that on November the team would conducting a national dialogue in all 13 district with the theme of 'reconciliation'.The goal of the dialogue is to find out what people think about the subject of reconciliation.

Mr Fransisco Branco head, of the Fretilin party, said that relationship between the military of Timor-Leste and Indonesia is important, but they must trust each other to ensure good relations.

Commenting on this issue, Mr Julio Tomas Pinto, a researcher and analysis in military and political said that he supported the President's statement about growing links between the Timor-Leste and Indonesian military.

The Health Department are planning an information campaign on national immunization, said Mr Carlos Boavida, head of the campaign for national immunization in HNGV(Hospital National Guido Valadares) Dili. The immunization will prevent polio in children aged between 6-59 months.(It really says 59. this could be a typo). Mr Boavida said that WHO,UNICEF,PKF and PNTL would be involved in the information campaign. He said that there was also a plan to distribute vitamin A.

Mr Antonio da Silva from Dili a citizen of Dili said that he doesn't want people to sell cows in the Pantai Kelapa because it makes the area look untidy.

The article says that the cattle owners from Oecusse are bringing the animal to Dili to sell as there no buyer in Oecusse. The people from Oecusse then return home and use the money they have earned to buy food for their families.

Dr Dominggos Sarmento, head of the Division of Animal husbandry said that cattle are dying from Febra Emorazica virus. He said the worst affected areas are Covalima and Same districs. Mr Sarmento said the disease was only affecting cattle that had not been vaccinated.

The Timor Post said that Mr Alcino Baris, the Vice Minister of Internal Affairs, said that the immigration law doesn't create a "vacuum" because it fills the 'void' left by the UNTAET regulations on immigration law. Mr Baris said that the immigration law debate is about regulation of people from foreign countries coming in and out of Timor-Leste.

Mr Julio Tomas Pinto, researcher and analysis in military and political affairs said that the church's role during the occupation by Indonesia was very important. Mr Pinto was commenting on a story in yesterday's news where Bishop Basilio do Nacimento said the role of the church today in a free Timor Leste is under threat.

Related to this issue, Mr Fransisco Gutteres, the head of the National Parliament, said that the church is important to Timor- Leste is future and it was very important in the past. He also said that nobody wants to pressure the church. According to Mr Gutteres, the church contribution is to build a strong moral foundation for this new nation.

The articles quotes a press release from the Australian battalion that says they want to decrease presence in Timor-Leste. The article also said the Australian Army would still give support to Falintil-FDTL(F-Forcas defesa de Timor Leste) with training and technical assistance.

Timor Post reports that, Colonel Lere Anan Timor, said he had received information from the Bobonaro District that last month, someone had sighted 20 men dressed in full uniform.

Col Lere added that days later, another report was sent in saying that 50 men were spotted in Ainaro District dressed in full uniform and carrying backpacks.

According to the Timor Post, Col Lere could not confirm whether they were militias or just the ex-members of Falintil.

October 6, 2003

There were three separate stories relating to the loans issue in Suara Timor Lorosae today.

In one article, Mr Antonio Ximenes from PDC (Christian Democrat Party) said Timor-Leste should borrow from the International Monetary Institutions.

Mr Ximenes said that at present, Timor-Leste needs to borrow from the World Bank, ADB and IMF, to support the veterans and old people for their contribution and to save for emergency needs. Mr Ximenes said that Timor-Leste and Indonesia have different systems to manage the loans. He said that economic collapse in Indonesia happened because of nepotism in their government.

Also commenting on this issue, Mr Alexander Cortereal de Araujo, from UDT (Timor Union Democrat) said that to borrow from the World Bank, ADB and IMF is a good decision because the loans can be used to create jobs for Timor-Leste's people. In a third story, Mr Estanislau S. Saldanha, Observer for DIT (Dili Institute of Technology) said that Timor-Leste is not maximizing the 'economic potential' of this country, and the government doesn't have a clear vision about the priority sectors. He said the government doesn't have systems that are transparent and accountable to manage the loans.

Mr Eusebio Gutteres from the CIITT said that the "top down" Timor Gas system would be not good for the Timor-Leste economy. He said that the pipeline must come to Timor-Leste not Darwin. Mr Gutteres said that he's pessimistic about the Greater Sunrise negotiations and says he supports the negotiator who is helping to act for Timor in the Maritime Boundaries dispute.

Commenting on this issue, Mr Alexandre Cortereal from UDT (Timor Union-Party) said that if the oil and gas pipeline does not come to Timor Leste, the country will suffer great financial loss.

The Border Control Unit and Australian Battalion-PKF of have caught 15 TNI with guns from the Indonesian Battalion 516. They entered Timor-Leste's 100 m-free zone, said Commandant BPU Bobonaro district, Abilio de Carvalho.

Mr Carvalho said that the 15 TNI from West Timor were conducting illegal trade with people from Timor-Leste. Commenting on this issue, Commandant PNTL Bobonaro district, Honorio Assis Barreto, said that he knew of no evidence of illegal trading.

Mr Feliciano da Costa, Adviser on Reconciliation for the President and RDTL Cabinet said the PNTL killing of Francisco Guterres, be investigated by the POLRI (Indonesian Poilice) and PNTL to solve the problem.

Mr Avelino Coelho, General Secretary of PST (Timor Socialist Party) said that all of the people from Timor-Leste must support President Xanana to promote the culture of Timor Leste at an international level. The President is currently attending on international tourism conference in Singapore. Mr Coelho said that the Government must have a plan raise the profile of Timor Leste's and culture internationally.

The Prime Minister, Mari Alkatiri and a delegation has just visited China. He said the Government China economically. He said entrepreneurs from China would come to Timor-Leste to discuss this program.

Mr Harry Harsono, the Indonesian Ambassador to Portugal said that Timor-Leste students in Portugal must study hard to build Timor- Leste future. "You are the future of the nation. You need to build your country, and then some day come back to your countr", said the Ambassador from Coimbra, Portugal when meeting with Timor-Leste students there.

Diplomatic relations between Timor-Leste and the Republic of Indonesia are in good condition. He said "we need to forget the past and build good relations", said the Ambassador. Commenting on this issue Joaquin Fernandes, chairman of the Timor-Leste Student Union at the University of Coimbra, said that a good relationship between the two countries is important to create stability in the region.

Mr Jose da Conceicao da Costa, President of the Timor-Leste Union Confederation (KSTL) said that the Aviation workers are continue to protest because the Aviation Services company is subjecting the workers to "Green Herlick". He said that the management of the company is treating the workers like slaves.

Mr Mario Mendonca, Secretary for EDTL (Electricity Timor Leste) in Ainaro said that his department needs transport. He said they need transport so when a cable is broken in a small village, they can go quickly to repair it.

On a related issue Mr Vergilio Guterres, a Director for Central Electricity Timor-Leste (EDTL), said that the problem with electricity was supply. Most recently there was a problem with a ship bringing fuel to Timor Leste from Indonesia so generators could not powered.

Director Executive/ Rectorium Dili Institute of Technology (DIT), Mr Joao Cancio Freitas, Ph.d, said that Nobel Prize Winning Carlos Ximenes Belo would give a lecturer to open new the new study year 2002/2003 with the theme 'Education, Etiquette and progress'.

Invited to the event will be Mr Joao Saldanha, Ph.d from East Timor Study Group, the Government, National Parliament, people from civil society and International Monetary Institutions like the World Bank, ADB and IMF, and Embassies in Timor- Leste.

The Timor Post reported that inspector Julio Hornai, temporary Director PNTL (Timor-Leste Police) said that one member of PNTL had been discharged because he hit a member of F-FDTL (Falintil- Forcas Defesa de Timor-Leste). Mr Hornai said, "this is a criminal act and it is being investigated."

President Xanana to met Pope The President said that he will meet Pope II during his official visit to Europe and England.

Australia's Operational Commandant PKF, Paul Better, said he can't comment on longterm Australian PKF, but said the AUSBATT 9 would becoming when AUSBATT 8 goes back to Australia. Commandant Better said that the Minister for Foreign Affairs and Cooperation, Jose Ramos Horta, had told him that this country needs more UN-Police, not PKF.

Women need to play a greater role to reduce poverty, said Mrs Maria Manuela R. Pereira from Fokupers after attending a meeting about gender and poverty reduction in Cambodia last week. Mrs Pereira said that the reality, is that are woman less they skilled then men, but they can enhance their capacity with training. The second regional workshop about gender and poverty reduction, was organized by the World Bank, in partnership with UNIFEM, ADB, DFID, the Netherlands Government and UNDP.

October 7, 2003

Suara Timor-Leste reported that Prime Minister, Mari Alkatiri, said that "is not that the Government does not want to borrow from the World Bank. As a new Nation firstly he said Timor-Leste needs to build its capacity to manage and wisely budgets in every sector of the society'. He said the important thing is to develop capacity at an administration level. Minister Alkatiri also said that if the Government borrows it creates debts, and debts have to be paid back one day.

Mr Joao Mariano Saldanha (Phd), Executive Director of East Timor Study Group said that he agrees with the government policy of not borrowing money for the time being. Mr Saldanha said that management skills need to be developed in departments like Finance, Planning and Development before the Government decides to borrow from World Bank, IMF and ADB.

The Minister of Health, Dr Rui de Araujo, during a meeting with a TFET Joint Mission said that programs on health have been established and priorities have been set to build new clinics. Dr Araujo said that TFET Joint Mission meetings are held every six months with donor countries to report and update on the implementation of the programs established by his Department. Present at the meeting were also the Vice-Minister of Health, Luis Lobato, Team Leader of the Delegation from the World Bank, Mr Ian Morris, the AusAID and the Head of the European Union.

The President, Xanana Gusmao met Prime Minister Alkatiri to discuss the national issues concerning security and stability, the economy and the World Bank. Mr Alkatiri briefed the President about the World Bank meeting held in Dubai, last month, and about his official visit to the Republic of China. On the President's agenda was his official visit to Malaysia, and the end of the UNMISET mission.

STL reports that Victor Santa Primary School, in Maliana, is desperately in need of chairs to accommodate 355 children. The headmaster, Sr Felisberto Sena Goncalves, said he finds it difficult to teach when there is shortage of books for the children to learn.

The Timor Post reports that, Bishop Carlos Filipe Ximenes Belo, during a seminar about Education, Ethics and Development in Timor-Leste, said that the difficult situation that East Timor is facing needs to be solved with dialogue and not rioting. In a direct message to the students in the Dili Institute of Technology, yesterday, the bishop said that their role within this difficult process is to study and become the future leaders of this country. Armindo Maia, the Minister for Education was also present at the seminar.

Timor Post reports that Armindo Maia, Minister of Education, said that the Government of Timor-Leste and the Church are working together in developing human resources for health and education departments.

October 8, 2003

Suara Timor Lorosae reported that as part of a major opinion piece Marlinda Silva, BHSc, General Secretary UNICET (United Islamic Center of East Timor), said that we don't need to borrow from the IMF and theWorld Bank to save the economic situation.

Mrs Silva said that Timor-Leste must look at how the IMF and the World Bank loans have impacted countries. As an example, she cited countries like Brazil, Mozambique, Angola, Thailand, Netherlands, North Korean and Indonesia who have borrowed from the IMF and the World Bank. She said the loans had made these countries suffer.

The Prime Minister Mari Alkatiri said during the first graduation of the National University of Timor-Leste that graduating must study hard to understand the key areas of technology and science to help build their nation.

On the same subject but in another article, President of the National Parliament, Francisco Guterres ( Lu Olo) said that, the graduates must practice their knowledge help inspire Timor-Leste for the future.

The Department of Agriculture, Forestry and Fisheries; division of Animal Health and Livestock have had great success in their cattle vaccine program in all 13 districts. 200,000 vaccination against Hemorhagic Fever is the target. Pigs have also been vaccinated to prevent cholera (Hog Cholera), and chickens to prevent Newcastle Disease (ND). The program is funded by the World Bank program and International Development Agencies (IDA). (This was sourced from a World Bank press release)

The Timor Post said that President Xanana Gusmao has left for a European trip where he will meet Pope Joao Paulo II at the Basilica Sao Pedro, Vatican.

Prime Minister Mari Alkatiri said that the relationship between Indonesia and Timor-Leste is built on peace. He said Timor-Leste doesn't "bend down" to create relations with Indonesia. The Prime Minister said that FDTL-TNI plan to train together.

Minister of Health, Dr Rui Maria de Araujo said that every 6 months the World Bank with others donors for CFET and TFET come to review the Department of Health's implementation program. (This is the same story as appeared in yesterday's STL).

October 9, 2003

Suara Timor Lorsae reported that in an opinion piece that began yesterday and continued today Mrs Marlinda da Silva from UNICET (United Islamic Center of East Timor) said that the Government of Timor-Leste must create jobs and does not need to borrow from the World Bank and IMF to save the economic situation. Mrs Da Silva said that Timor-Leste's people can generate enough wealth based on its agriculture sectors.

President Xanana Gusmao will visit Pope Joao Paulo II, and will thank the pontiff for his contribution to Timor-Leste winning its independence. President Xanana said that he would be speaking for all the people of Timor-Leste.

Quoting a press release from the Department of Foreign Affairs, STL says that Timor-Leste has been invited to attend an ASEAN conference in Vietnam from October 7-9. In the meeting, Timor- Leste will give advice about the promotion of the International Treaty on Human Rights.

Mr Eusebio Guterres from PD (Democratic Party) said that the Bayu Undan oil and gas fields (Timor Gap) were already creating jobs for Timorese and is being well-managed. Mr Guterres also said that the government must have 'good will' to manage the income from the oil and gas reserves in the Timor Gap.

The Timor Post reported that Prime Minister Mari Alkatiri has received a book and a medal from the United Nations. The award went to the Prime Minister because of his contribution to Timor- Leste independence.

The lead story is about President Xanana Gusmao saying that he will confess to Pope John Paul II, saying he has fault.

Inspector Julio Hornai, Temporary Head of PNTL, said that the investigation of the "Mojong incident" found that the Border Control Police (BPU) PNTL who shot the member of the militia in the Tunubibi area on September 19 were not at fault. Inspector Hornai said that the case was about self protection. He said that POLRI (Indonesia Police) and PNTL agreed on the result of the investigation.

The economic section of Talitakum carried a story about the World Bank CFET/(Consolidation Fund for East Timor). CFET provides funds for social and economic sectors. The first allocation of $72.1 million is for education and health under the Transitional Support Program (TSP).

Funding CFET is the World Bank, England, Australia, the US, Norway, Portugal, Finland , Ireland, Sweden and New Zealand. (The source of the information in this articles was the Ministry of Planning and Finance).