Visit to Timor-Leste of the Singapore Foreign Minister

27 July 2023

This has been an eventful week with the Singapore Foreign Minister, Dr Vivian Balakrishnan visiting Dili and I was pleased to see the strengthening of ties between the two nations with the announcement of a Singapore Embassy and the opening of the Singapore Community Association.

Dr Balakrishnan noted in his speech that Singapore was Timor-Leste’s second-largest trading partner and export destination in 2021 and a major foreign investor in Timor-Leste. Seeing Singaporean firms further invest, whether in hospitality, real estate, or other areas, would benefit greatly from both countries. These announcements are a major vote of confidence from Singapore in the Timor-Leste economy – and the country’s future.

The World Bank noted in its 2022 overview of Timor-Leste that ‘encouraging private sector-led growth in the economy will be vital for job creation.’ Most of us know this intuitively, but it is good to be reminded. As a business owner in Timor-Leste for more than 20 years, I have seen first-hand how private sector development and secure jobs help improve lives.

Such resounding support from Singapore will undoubtedly lead to increased private sector growth and enhanced prospects for the Timorese people and their future. However, from my observations, if the Timor-Leste economy is to move forward at pace, there is still a need for a more diverse offering of financial products that support local businesses and allow entrepreneurs to enter the market with greater security and easier access to finance. The Foreign Minister’s announcements of stronger bilateral engagement seem to be a perfect opportunity for Singaporean Banks such as DBS, the United Overseas Bank, or the Oversea-Chinese Banking Corporation – to name a few – to open branches in Dili and offer this much-needed access to funds and to increase financial sector competition.