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Timor-East to Abolish MP Pensions and Luxury Vehicles Following Public Demonstrations

Parliament in East Timor annuls lifetime pensions for MPs, capitulating to public demand following a rejected proposal to expend funds on SUVs for legislators, in a region known for its economic hardship.

East Timor Plans to Abolish Parliamentarian Pensions and SUV Benefits Following Protests
East Timor Plans to Abolish Parliamentarian Pensions and SUV Benefits Following Protests

Timor-East to Abolish MP Pensions and Luxury Vehicles Following Public Demonstrations

Protests Erupt in East Timor Over Planned Purchase of SUVs for Parliament Members

In the heart of Dili, East Timor's capital, thousands of protesters gathered near the parliament building this week, voicing their disapproval of a planned multi-million-dollar purchase of SUVs for the country's National Parliament members. The demonstrations, primarily student-led, have triggered widespread anger in a nation where more than 40 percent of the population lives in poverty, according to the World Bank.

The controversy stems from a budget item, approved last year, to purchase Toyota Prado SUVs for each of the country's 65 members of parliament. The tender for this purchase was due to be completed in September, according to an official parliament document. However, the plan has been met with significant opposition, with protesters viewing it as a symbol of injustice in a country grappling with high inequality, malnutrition, and unemployment.

Universidade da Paz economic faculty dean Caetano C. Correia stated that the plan was viewed by many as 'a symbol of injustice'. The demonstrators' initial demands focused on cancelling this plan, but later expanded to include other issues such as lifetime pensions for former MPs, as per a law passed in 2006.

In response to the protests, Parliament unanimously adopted a resolution to cancel the new vehicle procurement process listed in the 2025 budget. Parliament has announced it will take steps to annul this law following a meeting with representatives of the demonstrators. The parliament's general secretariat must now adopt administrative and financial measures aimed at maintenance and efficient use of vehicles already in MPs' use.

Despite the resolution, some protesters expressed scepticism, with rumours that the cars are already on their way. The unrest in East Timor is ongoing, with demonstrators on Monday and Tuesday hurling rocks at police, who responded with tear gas. President Jose Ramos-Horta stated there would be 'no tolerance' for violence during the demonstrations.

East Timor's economy remains heavily reliant on its oil reserves, but the nation's wealth has yet to trickle down to its people, with more than half the population living in poverty. Prime Minister Xanana Gusmao was travelling to London for meetings on land and maritime borders and is expected to return on September 22.

As the protests continue, it remains to be seen whether the government will take further steps to address the concerns of its citizens and move towards a more equitable distribution of resources.

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