How Will The Removal of USAID Affect Timor-Leste?

Previously, USAID has invested in the nation of Timor Leste through helping to strengthen its democratic institutions and expand its growth. Being such a young nation, Timor Leste is inherently dependent on allies to provide such support, and through USAID, the United States has done so in a substantial manner since 2002. In an aim to help save lives, USAID has worked to expand health services in the nation, and to reduce corruption and promote good governance practices. The organisation has contributed to the practice of peaceful elections.  However, in light of recent announcements indicating the shutdown of USAID, it is now questioned what this means for nations relying on such support, namely Timor Leste. It's undeniable that the dismantling of USAID by President Donald Trump will affect the nation significantly due to its previous role in redeveloping the state post-conflict. President Donald Trump has stated that all overseas spending must be aligned with the “America First” approach, meaning that funds spent in the international development sector must ultimately benefit the United States.  Shutting down USAID in all aspects would require an act of Congress; however, it is reported that the Trump Administration wishes to make USAID a branch of the State Department in order to remove its independence as a government agency. The impact of this change will be felt globally, and to an extent in Timor Leste.  

Timor Leste President Jose Ramos Horta has expressed his belief that Trump's decision will not affect Timor Leste, as the state has their own budget allocations to matters of which USAID previously assisted it, and similarly, they have other partners available to contribute to such expenses. He asserted that it may affect some local NGOs that rely on the funding, but it will not affect the government. Therefore, within internal government budgeting, this international change should not cause concern, but on an individual basis for NGOs operating in the nation, it holds the potential to cause funding problems