Integrated National Financing Framework (INFF) and Financial Diversification in Timor-Leste
The Joint Programme aims to assist Timor Leste's government to develop and establish a holistic and Integrated National Financing Framework which will help to improve the governance and coordination, articulate a financing strategy and strengthen the monitoring and oversight framework. The programme will help diversify financing sources of the country and grow the fiscal space for Timor-Leste in order to reduce the reliance on petroleum funding. Three financing areas have been identified for catalyzing strategic investments in People, Prosperity and Planet that emphasize financing - health, diaspora and climate financing, respectively. A strong INFF that mobilizes pro-health taxation, diaspora financing through remittances and financing for climate-related SDGs will be a catalyst for increasing investments in sustainable development.
To achieve the SDGs and national Strategic Development Plan goals by 2030, Timor-Leste needs to increase its investment in sustainable development by overcoming two main challenges: a) no existing national, holistic and integrated system of financing for the SDGs; and b) and development financing in the country that is non-diversified and heavily reliant on the Petroleum Fund. To tackle the challenges, the programme will aim to address the first challenge through establishing the INFF coordination framework, while the second challenge will be addressed through identifying and mapping innovative SDG financing options and opportunities from which the country could benefit.
UNDP, WHO, IOM
Office of Prime Minister of the Republic of Timor-Leste, Planning, Monitoring and Evacuation Unit, Ministry of Finance, Ministry of Health, Ministry of Foreign Affairs and Cooperation, Secretariat of State for Environment, Secretariat of State for Youth and Unemployment, Secretariat of State for Inequality and Inclusion, Ministry of Trade, Commerce and Industry, State bank