东帝汶：东盟一体化投资者手册

Understanding Timor-Leste’sMarket FoundationsPg 05 Choosing the Right Entry Structureand Tax StrategyPg 08 Managing Risks and BuildingResilience in Timor-LestePg 12 Scaling for Sustainable Growth andFuture PotentialPg 15 Introduction ALBERTO VETTORETTIPartner Dezan Shira & Associates www.dezshira.com Timor-Leste is entering a decisive transition. Petroleum revenues,once more than 80 percent of state income, are declining as Bayu-Undan winds down and Greater Sunrise remains unresolved. At thesame time, infrastructure upgrades such as Tibar Bay Port, the SouthSubmarine Cable, and new road links are reshaping trade capacity.Foreign direct investment has risen to around 12–13 percent of GDP,while ASEAN membership, targeted for 2025, will embed Timor-Lestein regional markets and preferential trade regimes. www.aseanbriefing.com www.china-briefing.com www.india-briefing.com For investors, the appeal lies in timing. Incentives, flexible regulatoryframeworks, and available land create openings that will not last onceASEAN integration raises competition and standards. Early movers cansecure favorable positions in logistics, digital connectivity, renewableenergy, and tourism — sectors set to drive the next phase of growth. www.vietnam-briefing.com www.middleeastbriefing.com A collaboration between our macro team at Dezan Shira, Think ForwardConsulting & TradeInvest Timor-Leste, this magazine provides a strategicoutlook on how Timor-Leste’s economic shift can translate into durableopportunities. It highlights where reforms, demographics, and regionalintegration are converging, and what conditions matter most forsustainable returns. With an established presence across ASEAN, our team at Dezan Shira& Associates is well-equipped to assist companies in navigating Timor-leste’s investment landscape. For more information on setting up orexpanding operations in Timor-Leste, please contact us atasean@dezshira.com. Credits Publisher- Asia Briefing Media Ltd.Lead Editor-Ayman FalakProject Manager- Amanda LamContributors- TradeInvestTimor-Leste (Roberto Lai); ThinkForward Consulting (VinayMathur)Designer-Aparajita Zadoo With kind regards, Alberto Vettoretti Preface VINAY MATHUR PartnerThink Forward Consulting Lda Timor Leste is Asia’s youngest country providing a white space opportunity. Withover two decades of peaceful and democratic political process, it is soon to bethe newest member of ASEAN. Together with preferential US tariff structures, TimorLeste provides a unique gateway into ASEAN, as also an option for US focused exports. Its USD economy, 10% Income Tax rate, 2.5% Sales Tax, 2.5% Customs Duty; makesit a favorable investment destination. There are fiscal benefits such as 5-to-10-yearincome tax holiday, customs duty exemption on capital goods; that are availablethrough a Declaration of Benefits approval process. TradeInvest Timor Leste is a singlewindow which directs private sector investment for Declaration of Benefits approval.In case of special approvals other than those covered under the Private InvestmentLaw, Trade Invest can facilitate the process of a Special Investment Agreements,provided the investment meets certain criterion. The educated work force uses English as business language, though Bahasa andTetum are widely spoken. Most young professionals are eager to learn, thoughthere previous work experience may or may not be in line with specific industryrequirements. Investors can provide a transition period for training and developmentof their local staff. A key challenge is access to land as most land in the country is privately owned. Foreignerscannot buy land on freehold, however, can lease land either from the Government(Ministry of Justice and Directorate of Land and Property) or private owners on lease.The Private Investment Law provisioning leases from the Government for fifty plus fiftyyears. Electricity is sufficient from a local power station in Hera (Dili). There is no watersupply from the Government and there are no restrictions on access to ground water. While expansion into Timor-Leste presents hurdles, the right local network can ensurea seamless entry. Reach out to us to leverage that expertise. With kind regards,Vinay Mathur Timor-Leste at theCrossroads: An Investor’sPlaybook for ASEAN Integration Reference ASEAN Briefing and relatedtitles are produced by Asia BriefingLtd., a wholly owned subsidiaryof Dezan Shira Group. Contentis provided by Dezan Shira &Associates. Contents No liability may be acceptedfor any of the contents of thispublication. Readers are stronglyadvised to seek professionaladvice when actively looking toimplement suggestions madewithin this publication. Understanding Timor-Leste’s MarketFoundations Pg 05 Choosing the Right Entry Structureand Tax Strategy Pg 08 Managing Risks and BuildingResilience in Timor-Leste For queries regarding the contentof this magazine, please contact:editor@asiabriefing.com Pg 12 Scaling for Sustainable G