Hanoi (VNA) – Timor-Leste is encouraging the development of businesses based on locally available products and resources, with a focus on strengthening women-owned enterprises to boost domestic production, create greater added value and reduce reliance on imports.
The policy direction was outlined by Timor-Leste Prime Minister Kay Rala Xanana Gusmao as the country expands the domestic production base and creates more business opportunities for people in local communities.
The move is particularly significant for the small business sector, where women-owned enterprises account for a considerable share of economic activity but largely remain small-scale and informal.
According to a nationwide survey conducted by the Timor-Leste Women’s Business Association (AEMTL) from October 2024 to March 2025, nearly 63% of the women-owned businesses surveyed were operating informally or had not been registered with SERVE, Timor-Leste’s business registration and licensing authority.
These businesses are concentrated mainly in retail (52%), food and beverage services (14%) and livestock farming (5.5%). As many as 66% are run solely by women business owners, with most employing no more than five workers. Their revenues are therefore limited, with nearly 64% of the surveyed businesses earning less than 500 USD per month, indicating that most women-owned businesses remain at household or micro-enterprise scale.
Against this backdrop, shifting from small-scale trading to production, processing and the development of higher-value-added products is seen as one way to improve the competitiveness of this business sector. Agriculture-based products, food, handicrafts and other locally distinctive products can create more jobs, expand markets and raise incomes for local communities.
The Timor-Leste Government also plans to strengthen the capacity of business owners through training in management, innovation, marketing, networking and product development. These are essential for small businesses to gradually move towards formal operations and gain access to broader markets.
Under this approach, supporting women-owned businesses is not only about creating more livelihood opportunities but can also contribute to efforts to expand domestic production. By making use of resources available in local communities, Timor-Leste aims to develop higher-value products, create jobs and gradually reduce dependence on imported goods./.
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