Is Timor-Leste a wealthy country?
The economy of Timor-Leste is primarily driven by the oil and gas industry, which has been the main source of revenue for the country since the early 2000s.
According to the World Bank, Timor-Leste has a population of around 1.3 million people and a GDP of $2.6 billion (2020 est.). Its economy is classified as lower-middle-income, with a per capita income of $1,956. While the country has made progress in reducing poverty over the past two decades, around 41% of the population still lives below the poverty line, with limited access to basic services such as healthcare and education.
The oil and gas industry accounts for over 90% of Timor-Leste's exports and more than half of its GDP. The country's main oil and gas fields are located in the Timor Sea, and its main oil and gas production companies include ConocoPhillips, Eni, and Woodside Petroleum. However, the country's reliance on oil and gas revenue has also made it vulnerable to fluctuations in global oil prices, and the COVID-19 pandemic has further impacted its economy.
To diversify its economy and reduce its reliance on oil and gas, Timor-Leste has also been focusing on developing its agriculture and tourism sectors. The country has a tropical climate and fertile land, which makes it suitable for a variety of crops, including coffee, rice, corn, and cassava. The government has been providing support to farmers to improve their yields and increase production. The country also has a growing tourism industry, with attractions such as beaches, diving spots, and historical sites.
Despite the efforts to diversify the economy, Timor-Leste faces several challenges in achieving sustainable economic growth. One of the main challenges is the limited infrastructure, including roads, ports, and airports, which makes it difficult to transport goods and services within the country and to other markets. The country also has a high unemployment rate, particularly among young people, and a low level of human capital, which hinders its ability to compete in the global market.
To address these challenges, the government of Timor-Leste has been implementing various policies and programs to improve the business environment and attract foreign investment. In 2020, the government launched a new investment law that aims to simplify the process of doing business in the country and provide incentives for foreign investors. The government has also been investing in education and training programs to improve the skills of its workforce and increase productivity.
What is the GDP of Timor-Leste?
|Currency Name and Code||US dollar (USD)|
|GDP - Gross Domestic Product (PPP)||$4,190,000,000 (USD)|
|GDP - official exchange rate||$4,231,000,000 (USD)|
|GDP - official exchange rate note||note: non-oil GDP|
|GDP - real growth rate||4.3%|
|GDP Per Capita||$5,800.00 (USD)|
|GDP by Sector- agriculture||5.9%|
|GDP by Sector- Industry||77.4%|
|GDP by Sector- services||16.8%|
|GDP - composition, by end use||
household consumption: 25.8%
government consumption: 29.1%
investment in fixed capital: 16%
investment in inventories: 0%
exports of goods and services: 79.4%
imports of goods and services: -50.3%
|Population Below Poverty Line||41%|
|Labor Force By Occupation- agriculture||64%|
|Labor Force By Occupation- industry||10%|
|Labor Force By Occupation- services||26%|
|Fiscal Year||1 July - 30 June|
|Annual Budget||$2,600,000,000 (USD)|
|Budget Surplus or Deficit - percent of GDP||-1.6%|
|Taxes and other revenues - percent of GDP||26.1%|
|Major Industries||printing, soap manufacturing, handicrafts, woven cloth|
|Industrial Growth Rate||8.5%|
|Agriculture Products||coffee, rice, maize, cassava, sweet potatoes, soybeans, cabbage, mangoes, bananas, vanilla|
|Exchange Rate per US Dollar||US dollar (USD)|
|Child Labor - % of children ages 5-14||4%|
|Child Labor - # of children ages 5-14||10,510|
|Commercial Bank Prime Lending Rate||12.3%|