46.4 BB1 2016 English 15.2 Final Final

Page | 60 2014 Actual 2015 BB1 Rec 2016 Projection 2017 2018 2019 2020 Revenues from institutions that are now autonomous agencies 1.5 1.5 0.0 0.0 0.0 0.0 0.0 Source: National Directorate of Economic Policy, Ministry of Finance, 2015 Total fees charges are expected to increase by 24.7 in 2016 in comparison to the 2015 Rectification Budget figure. This is mostly due to improvements in the collection, administration and monitoring procedures in the line ministries, as well as the growing services that the Government provides. In particular, dividends profits and gains, visa fees, property rentals and vehicle registration fees are expected to increase. This is due to higher dividends from the Central Bank, greater controls in immigration, more follow ups on payment of Government property rentals and an increasing number of vehicles in Timor-Leste respectively. Projections for outer years are also expected to continue a positive trend, following the improvement and reinforcement of collection mechanisms in line ministries.

2.6.2.3: Interest

Interest reflects interest payments received from cash held in Government funds. Interest is expected to decrease to 0.01 million in 2016 compared to 0.04 million in the 2015 Rectification Budget. 11 This is due the fact that the Government now holds smaller cash reserves in the Government accounts compared to previous years, a trend which is expected to continue in the near future. Controlled, smaller cash reserves are a positive sign in that the Government has been running down cash balances before withdrawing money from the PF. This policy contributes to PF investment returns, as the yield on PF assets is higher than the interest rate on cash held i the Go e e t’s a ou ts.

2.6.2.4: Autonomous Agencies

Over the past years many agencies have had their financial status changed to autonomous by law. Broadly speaking there are three types of autonomous entities: x Public institutions that collect revenue x Public institutions that do not collect revenue x Public companies All of the entities that are legally autonomous will now be set up in a manner such that none of their expenditure is subject to control or verification by the Ministry of 11 Table 2.6.1.1. shows 0.0 million for interest, as interest figures are expected to remain below 0.5 million.