Statement of Understanding Between Government of Timor-Leste and Development Partners Concerning the Planning and Financial Management Capacity Building Program

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Dili, February 13, 2008 --The World Bank welcomes the signing of a Statement of Understanding between the Government of Timor-Leste and Development Partners for a Planning and Financial Management Capacity Building Program.

“This program represents a generational shift in the public financial management strategy in Timor-Leste. It sets out clear and direct lines of responsibility and accountability. The Ministry of Finance is charged with administering this program and incorporating the best available global practice.” said Mr. Nigel Roberts, World Bank Country Director for the Pacific Islands, Papua New Guinea and Timor-Leste.

The Statement of Understanding establishes mechanisms for supporting organization and oversight, of the Government’s finances. It is expected to lead to faster, more transparent delivery of the Government’s development program (See Goverment's Media Release). Donors have committed themselves behind one harmonized approach.

The Minister of Finance will chair a Supervisory Committee to monitor implementation progress and help ensure the successful achievements of the program’s objectives.

“This is about delivering on better employment, health, education and housing outcomes. The people of Timor-Leste need to see a dividend for their long struggle for independence.” Mr. Roberts said.

The World Bank acknowledges the commitment of the other Development Partners in accepting a challenge so vital to building this young nation.

The Bank praises the Ministry of Finance’s decision to sign this Statement of Understanding at a time when so much focus is on the security challenges faced by Timor-Leste. The Statement of Understanding is an indication of the Bank’s strong support for the Timorese people and the Government.

“I personally, and the World Bank as an organization, wishes President Jose Ramos-Horta a full and speedy recovery. It is a great signal to the international community that even at this most sensitive time the Government of Timor-Leste is not allowing itself to neglect the tough, but essential task of nation-building.”
      
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For further information please contact:
Stan Grant – Senior Communications Officer World Bank in Sydney, Australia
Tlp  +61 448 099 101
Email: sgrant@worldbank.org

Or

Dionisio da Cruz Pereira – Public Information Centre World Bank
Dili, Timor-Leste
Ph: +670 7285744
Email: dpereira@worldbank.org