CABINET AGREES TO INCREASE TRANSFERABLE FUNDS

The East Timor Transitional Cabinet today agreed, in principle, to a proposal to increase the proportion of funds that the Head of the Central Fiscal Authority may transfer between the goods and services and capital components of existing budgetary appropriations.

The Cabinet Member for Finance would further develop the details of such a proposal, which would entail an amendment to regulation 2000/20. Cabinet specifically endorsed the transfer of funds from the goods and services component to the capital component of the budget allocated to support the National University of East Timor, and will refer this to the National Council for approval.

Currently, only ten per cent of the appropriation can be moved within the same department.

Cabinet also considered a proposal to improve existing environmental protections in the territory. Cabinet endorsed a technical amendment to Regulation 2000/19 on protected places, relating to the purchase of endangered species. That regulation only prohibits the selling of these items. Cabinet noted that existing Indonesian law prohibits the sale, purchase and possession of endangered species or products made from endangered species. If approved by the National Council, the new legislation will contain a ban on sales, purchase and possession of these items.

Cabinet also discussed the proposed regulation on the registration of political parties. Consultation on the proposed regulation in ongoing.

Finally, Cabinet received an update on the negotiations on the Timor Sea and endorsed the strategy proposed by the negotiating team.