Balance of Timor-Leste Petroleum Fund at US$16.6 billion in June

14 August 2014

The Timor-Leste Petroleum Fund had a balance of US$16.6 billion at the end of June, compared to US$15.7 billion at the end of last March, the Central Bank of Timor-Leste announced on Wednesday in Dili.

A Central Bank press release concerning the second quarter of the year indicated that gross capital inflows rose to US$1.084 billion, of which nearly US$700 million was due to royalty payments from the National Petroleum Authority.

The Fund’s return on investments was about US$413 million, with US$119.45 million referring to the entry of dividends and US$311.60 million to interest, as a consequence of changes affecting the market value of securities held on 30 June 2014, states the text.

The Timor-Leste Petroleum Fund was established in August 2005 to gather state revenue from exploitation of oil resources. The Central Bank is the agent responsible for operational management.

Revenue from the fund is later invested in financial assets abroad. The only monetary outflows are to the state budget after approval by parliament. (macauhub/TL)