Policy Brief

Highlights

Timor-Leste stands at a pivotal point in its development journey, with a youthful population that presents both significant opportunities and policy challenges. Social innovation and youth entrepreneurship are emerging as promising strategies to address some of the nation’s most pressing issues, including unemployment, unequal access to education, limited healthcare, and social exclusion. This policy brief explores how innovative, scalable solutions can contribute to national development while empowering youth to play a transformative role in achieving the Sustainable Development Goals (SDGs), particularly SDG 4 (Quality Education) and SDG 8 (Decent Work and Economic Growth).

The policy brief builds upon the research report “Enabling Child-Centric Innovation in Timor-Leste,” which mapped the country’s emerging social innovation ecosystem. The findings suggest that, although the ecosystem is still in its early stages, there is growing momentum. Barriers such as unreliable infrastructure, high internet costs, and low digital literacy have created a “Digital Triple Isolation” for many young people. However, ongoing infrastructure projects and increasing youth interest in entrepreneurship present significant opportunities for growth. 

The brief outlines strategic entry points for collaboration with the IX Constitutional Government in three key areas: (1) Education and Human Capital Development—through digital and vocational learning targeting marginalized youth; (2) Infrastructure and ICT—by expanding affordable internet and digital skills training; and (3) Social Inclusion—by promoting job opportunities and community-based support for vulnerable youth, including women and persons with disabilities.