
Since 2003, the Government of Timor-Leste has been working on developing a framework for decentralization and local government. Based on clear provisions in the Timor-Leste Constitution and directives from the Council of Ministers, the overall vision of the Government is to establish a strong, democratic and efficient local governance system starting in 2009.

The main objectives of the decentralization process are:
In 2008, the Government will begin to draft two law proposals on the decentralization process: a Law on Administrative and Territorial Division and a Law on Local Government, as well as other legislative documents as needed. The legal drafting process is coordinated by the Ministry of State Administration and Territorial Management; however in order to ensure that the future local governance system is strong and democratic, the legal drafting will require input and participation from all Government Ministries, civil society and the general community, and the final decision on the decentralization and local government law will be made by the National Parliament of Timor-Leste.