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Timor-Leste Government Spending

Government expenditure as % of GDP  GC.XPN.TOTL.GD.ZS

Timor-Leste's government spending was 42.00% in 2025, ranked 15th globally. This represents a 20.0% decrease from 2024. Data from World Bank, covering 2010–2025.

42.00% −10.49% (-20.0%)
Year 2025 Rank #15 Global Peak 83.61% (2010) Source World Bank

Timor-Leste Government Spending (2010–2025)

Overview

Timor-Leste's government spending stood at 42.00% in 2025, a decline of +10.49% from 2022. Based on recent trends, this figure is projected to reach 42.00% by 2025. Timor-Leste ranked 15th globally.

Timor‑Leste’s government spending as a share of GDP has fallen sharply from an all‑time peak of 83.61 in 2010 to a trough of 41.20 in 2021, before reaching 42.00 in 2025, placing the country 15th globally. This 49.6‑percentage‑point decline over 15 years reflects a sustained contraction of fiscal outlays amid limited revenue capacity and the fiscal consolidation required after the post‑independence boom. By 2025 Timor‑Leste’s spending level is virtually identical to that of Belgium (41.63) and only marginally below Luxembourg (42.30), suggesting convergence with higher‑income European peers despite divergent economic structures. The modest rebound from the 2021 low indicates a tentative fiscal easing, yet the trajectory remains flat, constrained by modest tax bases and ongoing development needs. Continued improvements in resource management and external financing will be essential if Timor‑Leste aims to raise its spending share and narrow the gap with peers.

Data & projection

Year Government Spending YoY change Rank
2025* trend 42.00% - -
2025 42.00% −10.49% #15
2022 52.49% +11.30% #109
2021 41.20% −10.99% #112
2020 52.19% +3.14% #131
2019 49.05% −7.89% #135
2018 56.94% −0.12% #136
2017 57.06% −13.04% #142
2016 70.10% −3.19% #144
2015 73.28% +5.92% #145
2014 67.36% +4.44% #142
2013 62.92% −15.23% #132
2012 78.15% +7.54% #135
2011 70.61% −13.00% #130
2010 83.61% – #127
* Linear trend extrapolation

Detected Pattern

Export Boom Cycle
Current account surplus with strong export growth (>15% YoY), reserve accumulation, and moderate GDP growth. Typical of commodity exporters during price surges.
Reserves YoY +42.4% GDP growth 5.4% C/A balance 54.8%
Occurred 768 times, 546 successful
Reserves YoY
+25.6%
GDP growth
4.0%
C/A balance
14.5%
Reserves YoY
+14.6%
GDP growth
3.7%
C/A balance
2.9%
Reserves YoY
+12.8%
GDP growth
43.8%
C/A balance
16.4%
Reserves YoY
+12.6%
GDP growth
6.0%
C/A balance
0.5%
Reserves YoY
+38.3%
GDP growth
5.0%
C/A balance
1.2%
Reserves YoY
+18.0%
GDP growth
2.9%
C/A balance
3.9%

Analysis

Timor-Leste matched the Export Boom Cycle pattern in 2021. Historically, 71% of countries showing this pattern (546 out of 768) saw government spending improve within 24 months. View full analysis →

Frequently Asked Questions

What is Timor-Leste's government spending?▾

Timor-Leste's government spending was 42.00% in 2025. Ranked 15th globally. This represents a 20.0% decrease from the previous year.

What was the highest government spending in Timor-Leste?▾

Timor-Leste's government spending peaked at 83.61% in 2010.

What was the lowest government spending in Timor-Leste?▾

The lowest government spending in Timor-Leste was 41.20% in 2021.

How does Timor-Leste rank in government spending?▾

Timor-Leste ranks 15th globally in government spending as of 2025.

What is the World Bank indicator code for government spending?▾

The World Bank indicator code is GC.XPN.TOTL.GD.ZS. Data sourced from World Bank.

What is the projected government spending of Timor-Leste in 2025?▾

Timor-Leste's government spending is projected to reach 42.00% by 2025 based on trend extrapolation.

What is the government spending of Timor-Leste in 2025?▾

The government spending of Timor-Leste in 2025 was 42.00%. This ranks 15th in the world.

Cite this page

APA
Timor-Leste Government Spending. HistorySaid. Retrieved October 31, 2026, from https://historysaid.com/timor-leste/government-spending/
BibTeX
@misc{historysaid_timor-leste_government-spending, title = {Timor-Leste Government Spending}, url = {https://historysaid.com/timor-leste/government-spending/}, publisher = {HistorySaid}, year = {2026} }
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