MILLENNIUM DEVELOPMENT GOALS MDG PROGRAM

Page 12 of 57 the MDG targets, the Millennium Development Goals Program has been included in the IF portfolio since its establishment of the Infrastructure Fund. Currently 4 of 6 projects have on-going status which allows to supplement the relevant projects in other IF Programs: 1 Social Housing, 2 Road and drainage, 3 Public facility and 4 Water Sanitation. All above mentioned projects are in one package. As a result, 2.585 new houses were constructed in 27 locations in 11 districts in Timor-Leste. According the SDP goal - 11,140 units of MDG Suco Houses should be installed. And today 23.2 of this target has been achieved. Two MDG projects: 1 Installation of solar panels in the identified rural villages and 2 Social project of installation of Dom Boaventura statue have already been completed in 2015 using the financial support from the Infrastructure Fund. This progress achieved through the MDG projects is very important for poverty reduction, improvement of living standards and overall country development. The IF budget allocation for MDG Program in 2017 is of 1 million.

2.11. HEALTH PROGRAM

This Program is focusing on infrastructure support for health sector in Timor-Leste. In terms of infrastructure development, extensions and improvements are required at the National Hospital, the referral hospitals and the district and sub-district clinics and health centres. Widespread improvements in the availability and quality of health care must continue in Timor-Leste. As a result, two health projects have been completed: the Baucau Referral Hospital which occupies 2,500m 2 and daily available capacity for 200 people and Rehabilitation of Ex-building Palácio das Cinzas. In the IF Portfolio there are 4 projects under preparation for construction: 1 Intensive care cardio unit at Guido Valadares National Hospital ICCU HGV; 2 Rehabilitation and construction for old building of Dr. Antonio Carvalho Hospital, ICCU and SAMES, 3 Project of pediatric building at Guido Valadares National Hospital and 4 Project for building extension of Guido Valadares Hospital with all projects benefits for more than 1.500 people. The IF budget allocation for projects under the Health Program in 2017 is of 2 million. Page 13 of 57

2.12 SECURITY AND DEFENCE PROGRAM

2.12.1 SECURITY SUBPROGRAM

Security is a top priority program for Timor-Leste’s development, and the reconstruction process is included building for professional police force with merit-based appointment and promotion, rebuilding security institutions and introducing principles of good governance. Investment in equipments and police infrastructures, including police accommodation has improved the operation as well as the impartiality of the force. However, some infrastructure projects need to be completed. In this Program: 5 ongoing projects, 1 project has not yet started and 20 projects have been completed.

2.12.2 DEFENSE SUBPROGRAM

F-FDTL aims to build capabilities to ensure that it becomes more flexible and versatile, develops joint military capabilities with other security services and is ready to face unexpected challenges and threats. 16 projects have been completed, including Caserna Hera, the Naval Residence and Construction of Service Support, Public Relations and Training Facility. There are 6 on- going projects: 1 Construction of F- FDTL posts in Atauro, 2-3 FDTL training Centre in Metinaro, 4 Supply plumbing in Tilomar 5 DED for new Campus of National defence institute, 6 Design of new office of MoD Building. 1 project is pending because of land. The IF budget allocation for Security and Defence Program in 2017 is of 3.827 million.

2.13 TASI MANE PROGRAM

The Tasi Mane Program aims to develop Southern coast area, which is endowed with a wide variety of natural resources. The goal is to support development, create new jobs, improve living conditions, generate various industries and stimulate the economy as well as attract investment. The main core of economic development to occur in South coast, as underlined in the SDP would be focused on oil and gas industry, as the petroleum sector is Timor-Leste’s greatest source of State revenue. This revenue is using to finance health care, education, security and defence and to build and maintain infrastructure for the strong nation. Expansion of the oil and gas sector has been constrained by the lack of vital infrastructure in the South coast.