Cross-Border Bus Service Set to Launch between Indonesia, Timor Leste in March

The visit also saw the signing of memorandums of understanding (MoUs). The four MoUs focused on the areas of higher education, industrial engineering, as well as meteorology, climatology, and geophysics, and the capacity building for the national elections commission.

President Joko “Jokowi” Widodo stressed the importance of building stronger economic cooperation with Timor Leste, resolving border issues, development cooperation, and the accession of Timor Leste to the Association of Southeast Asian Nations (ASEAN), according to the envoy.

“We aim to achieve mutually beneficial cooperation, enhancing economic cooperation in border areas, especially in East Nusa Tenggara,” said Okto.

Also read: Timor Leste’s President José Ramos-Horta to Visit Indonesia in July 

The improved connectivity between the two nations will pave the way for the business and economic sector, supporting the movement of people and goods, the ambassador said.

Hence, the two countries also agreed to encourage negotiations to establish a bilateral investment treaty to boost development. This treaty can be used as an umbrella to build cooperation in road development, tourism, agriculture, and farming.

“We hope the signing of bilateral investment treaty will be done this year,” he said.

In 2022 alone, Indonesia’s investment in Timor Leste had reached $818 million in the banking, oil and gas, as well as telecommunications sectors.

Timor Leste’s economy is almost entirely dependent on oil and gas, with about 90 percent of revenue coming from this sector.

Southeast Asia’s youngest nation lodged its application for full membership in ASEAN in early 2011. Indonesia, as the rotating chair of ASEAN this year, is preparing a roadmap to support the full membership of Timor Leste.

Timor Leste, a former Portuguese colony of about 1.4 million, was one of the Indonesian provinces for 24 years until it declared independence on May 20, 2002, following a United Nations-backed referendum.