HEALTH PROGRAM INFRASTRUCTURE FUND PORTFOLIO AND BUDGET BY PROGRAMS

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. Page 14 of 57 Meantime in the IF Program there are 5 ongoing projects: 1 Suai - Betano - Beaco Highway, 2 Water Supply in Dato Rua To Tolu, 3 Design, construction and supervision of Suai Supply Base, 4 Betano Petrochemical, 5 Detailed Survey of LNG Plan in Beaco. One project has been completed: 1 Environmental Study for South Coast for Tasi Mane Program, and one project has not yet funded: 1 Urban plan of Suai area. The IF budget allocation for projects under the Tasi Mane Program in 2017 is of 49.3 million.

2.14 ROADS PROGRAM

The aim of the Road Program is to support the movement of goods and services as well as to provide connectivity in terms of transportation between districts to various centres of economic activities. Well-constructed and maintained road system should be resilient to the climate and weather conditions and it`s essential for economic growth, social cohesion and national security. The Roads Program is one of the strategic and most important IF programs. Total number of the projects under this Program is 335 2 . As a result, since 2011 the Fund has supported and financed 91 projects. It helped to improve around 20-25 of roads. Today 60 of roads in Timor-Leste are still in poor condition. According to the SDP, in 2011 around 90 of national and district roads were in poor or very poor condition. Road projects have strong economic and social impact because these projects provide access to isolated areas, reduce time and cost of transportation and also create additional jobs during the construction. The current status of the Program: 231 road projects are on-going, 7 not started and 6 not yet funded, 46 rural projects covered by the Roads for Development Program which was started in 2012. The IF budget allocation for projects under the Roads Program in 2017 is of 84.926 million.

2.15 BRIDGES PROGRAM

Good and well-maintained bridges are crucial for ensuring reliable access to markets, education and health services and for security and social stability. These are fundamental requirements for economic and social development which were recognised by the Government and stated in the Strategic Development Plan 2011 - 2030. Therefore, the construction of new bridges, rehabilitation of deteriorated bridges and widening of narrow bridges were justified by high traffic and ranked them as a high priority program in the allocation of budget from the 2 The information regarding the number of road projects under the Program is presented up to October 2016