Timor-Leste

South-eastern Asia

Asia

A low-tax Asian country with low university tuition, but a weaker passport, a long 10-year naturalisation wait and a thin job market.

Overall score

Moderate · Penalty applied · 89% data coverage

Language

Tetum, Portuguese

Currency

USD

Citizenship

10 years

Personal tax

Generally 10% on taxable wage income

Cost of living

$900 / mo (single)

Rules change often. Confirm any immigration, tax or legal decision with a qualified professional.

Score breakdown

Access

17%

39Residence12%

56Citizenship and passport5%

Earning power

25%

52Salary and work12%

64Buying power13%

Business and wealth

20%

82Taxes7%

39Business8%

43Investment5%

Daily life

25%

48Quality of life18%

57Education7%

Rights and institutions

13%

72Freedom6%

35Rule of law7%

Healthcare collapse (36) cut the overall score from 53 to 50.

Pros

Low university tuition

Cons

A weaker passport
A long 10-year naturalisation wait
A thin job market

Best for

Low-tax relocatorsStudents

Score profile

Access

Residence

Citizenship

Passport

Earning power

Salary & work

Buying power

Cost of living

Economy

Business and wealth

Taxes

Personal tax

Corporate tax

Business

Investment

Wealth building

Daily life

Safety

Healthcare

Environment

Infrastructure

Education

HDI

Rights and institutions

Freedom

Rule of law

How the scores are calculated

Access

Residence

Openness to residents

Limited

Migrant stock0.6% of population (2024)

Regulatory quality-0.73 (−2.5 to 2.5) (2024)

Source: World Bank World Development Indicators

Main pathways

EmploymentStudyFamily reunificationBusiness or investment where eligible

Student	Rules depend on status and circumstances; verify the current requirements with the competent authority before acting.
Work	Rules depend on status and circumstances; verify the current requirements with the competent authority before acting.
Self-employed	Rules depend on status and circumstances; verify the current requirements with the competent authority before acting.
Permanent	Rules depend on status and circumstances; verify the current requirements with the competent authority before acting.

Citizenship

Citizenship accessibility

Moderate

Years required	10 years
Dual allowed	Yes
Language	Check the current naturalisation rules for the selected route
Residence	Typical headline route: 10 years; qualifying residence and absence rules apply
Notes	Rules depend on status and circumstances; verify the current requirements with the competent authority before acting.

Passport

Passport power

Limited

85 / 198

Mobility

#59

Global rank

Yes

Biometric

Visa-free35
On arrival47
eTA3
Visa required113

Placeholder estimates for 2024 to 2025. Check entry rules with each destination before travelling.

Earning power

Salary & work

Labour-market strength

Moderate

Output per worker$8,921 PPP (2024)

Unemployment1.6% (2025)

Participation67.0% of 15+ (2025)

Source: World Bank World Development Indicators

Mean monthly earnings of employees

Overall$200 · $449 PPP (2021)

Tech (IT & comms)$314 · $705 PPP (2021)

Source: ILOSTAT (International Labour Organization)

Freelance	Market access depends on language, sector, and work authorisation
Job market	Use current local vacancy and salary data for role-specific decisions.

Buying power

Purchasing power score

Moderate

GNI / person$5,120 PPP (2025)

Consumption / person$2,414 PPP (2024)

Price level45 (US = 100) (2025)

Income inequality28.7 Gini (2014)

Inflation0.4% / yr (2025)

Source: World Bank World Development Indicators

Cost of living

Affordability

Excellent

Price level45 (US = 100) (2025)

Source: World Bank World Development Indicators

Rent	Varies substantially by city and neighbourhood
Monthly	$900 / mo (single)
Cities	Dili, Baucau

Economy

Economic strength

Limited

Output & income

GDP$1.9B (2025)

GDP / person$1,341 (2025)

GNI / person$5,120 PPP (2025)

GDP growth-9.1% / yr (2024)

Source: World Bank World Development Indicators

Stability & labour

Inflation0.4% / yr (2025)

Unemployment1.6% (2025)

Output per worker$8,921 PPP (2024)

Source: World Bank World Development Indicators

Sector composition

Agriculture20.2% of GDP (2024)

Industry11.8% of GDP (2024)

Services71.6% of GDP (2024)

Source: World Bank World Development Indicators

Main industries

Oil & gasAgriculture (coffee)ConstructionPublic sector

Top exports

Crude oil & gasCoffee

Type	Lower-middle-income, petroleum-fund-dependent
Key sectors	Offshore petroleum, Coffee agriculture
Summary	A young economy almost wholly dependent on a depleting petroleum fund, with coffee as the main non-oil export.
Currency	US dollar (official currency)

Business and wealth

Taxes

Tax friendliness

Excellent

Personal	Generally 10% on taxable wage income
Corporate	Generally 10%
Capital gains	Treatment varies by asset, holding structure, residence, and treaty position
Dividends	Rates and withholding depend on residence and treaty eligibility
Exit tax	Check current domestic rules before changing tax residence
Foreign companies	Management, permanent-establishment, CFC, and reporting rules may apply

Personal tax

Excellent

Personal	Generally 10% on taxable wage income
Freelance	Registration, immigration permission, tax, and social contributions may apply
Capital gains	Treatment varies by asset, holding structure, residence, and treaty position
Dividends	Rates and withholding depend on residence and treaty eligibility
Exit tax	Check current domestic rules before changing tax residence

Corporate tax

Good

Corporate	Generally 10%
Capital gains	Treatment varies by asset, holding structure, residence, and treaty position
Dividends	Rates and withholding depend on residence and treaty eligibility
Foreign companies	Management, permanent-establishment, CFC, and reporting rules may apply

Business

Business friendliness

Limited

Regulation & bureaucracy

Regulatory quality-0.73 (−2.5 to 2.5) (2024)

Government effectiveness-0.90 (−2.5 to 2.5) (2024)

Source: World Bank World Development Indicators

Operating rules

Foreign company	Generally possible, subject to sector, registration, tax, and substance rules
Local company	Available company forms and capital requirements vary
Freelance	Registration, immigration permission, tax, and social contributions may apply

Investment

Investing environment

Limited

Private credit39% of GDP (2025)

Source: World Bank World Development Indicators

Capital gains	Treatment varies by asset, residence, holding period, and treaty position
Dividends	Data not available yet
ETFs & funds	Data not available yet
Wealth tax	Check current national and subnational rules
Brokers	Local and international availability varies by residency and compliance checks
Foreign access	Data not available yet
Tax-advantaged	Data not available yet

Wealth building

Wealth accumulation

Moderate

Salary & work

Moderate

Business

Limited

Investment

Limited

Tax friendliness

Excellent

Cost of living

Excellent

Daily life

Safety

Safety & stability

Good

Personal safety

Homicide rate4.1 per 100,000 (2015)

Source: World Bank World Development Indicators

Institutions & stability

Control of corruption-0.38 (−2.5 to 2.5) (2024)

Political stability0.53 (−2.5 to 2.5) (2024)

Source: World Bank World Development Indicators

Check current government travel and security advice before relocating.

Healthcare

Healthcare score

Limited

Outcomes

Life expectancy67.9 years (2024)

Under-5 mortality47.6 per 1,000 births (2024)

Source: World Bank World Development Indicators

Capacity & resourcing

Physicians0.75 per 1,000 (2020)

Hospital beds0.38 per 1,000 (2023)

Health spending$461 PPP / person (2023)

Source: World Bank World Development Indicators

System & costs

System	Public/private mix varies by eligibility and residence status
Insurance	Check residence-permit and local coverage requirements
Average cost	Depends on eligibility, income, insurer, and chosen coverage

Environment

Environment score

Excellent

Environmental pressure

PM2.5 exposure12.0 μg/m³ annually (2023)

Water stress28.3% (2022)

Source: World Bank World Development Indicators

Infrastructure

Infrastructure score

Limited

Digital infrastructure

Internet use35.0% (2021)

Internet resilience41 / 100 (2026)

Fixed speed31 / 100 download index (2026)

Mobile speed23 / 100 download index (2026)

Sources: World Bank World Development Indicators · Internet Society Pulse Internet Resilience Index

Utilities

Electricity access100.0% (2023)

Source: World Bank World Development Indicators

Transport

Transport quality1.67 / 5 (2007)

Source: World Bank World Development Indicators

Education

Education score

Moderate

Attainment

Expected schooling13.3 years (2023)

Mean schooling6.2 years (2023)

Source: UNDP Human Development Report 2025

Participation & investment

Tertiary enrolment31% gross (2023)

Education spending5.2% of GDP (2023)

Source: World Bank World Development Indicators

Tuition	$1,500-5,000 / yr
Public university	Varies by institution, programme, and student nationality
Languages	Tetum, Portuguese
Student work	Rules depend on status and circumstances; verify the current requirements with the competent authority before acting.

HDI

Human development score

Moderate

HDI0.634 (2023)

Source: UNDP Human Development Report 2025

Long & healthy life

Life expectancy67.7 years (2023)

Source: UNDP Human Development Report 2025

Knowledge

Expected schooling13.3 years (2023)

Mean schooling6.2 years (2023)

Source: UNDP Human Development Report 2025