THEME: Womens access to their rights and entitlements

PROGRESS THUS FAR - RESEARCH ON GENDER-RESPONSIVE BUDGETING IN TIMOR-LESTE

Monica Costa University of South Australia and visiting scholar Australia National University1

Abstract

In 2008 the government of Timor-Leste pledged to engender its budget as a strategy for achieving its gender equality commitments and improving women's access to their rights and entitlements. This pledge recognized the need for institutional and policy changes to address the significant economic, political and social inequalities between men and women, and between different groups of men and women, in this newly independent nation. With this commitment Timor-Leste joined more than ninety countries engaged in gender-responsive budgeting work. However, Timor-Lestes capacity to adopt gender-responsive budgeting is significantly constrained by its status as a fragile state, that is, a state marked by weak institutional capacity, poor service delivery and political instability. Indeed, some critics have argued that genderresponsive budgeting initiatives should not be pursued in countries with similar characteristics. While much has been written on gender responsive budgeting, knowledge on the conditions that underpin the success of these initiatives as a strategy for promoting gender equality in fragile states remain sparse. With this in mind I

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Contact: monicacost@gmail.com

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embarked on a PhD research program in 2009 to explore how gender responsive budgeting work can further a gender equality agenda and improve womens access to their rights and entitlements in fragile states. Specifically I seek to understand the conditions under which gender-responsive budgeting is being implemented in TimorLeste, its practice and the potential for furthering this effort. This paper provides an account of progress to date on my PhD project.

INTRODUCTION Gender responsive budgeting (GRB) initiatives first emerged in Australia as a strategy to follow the money to ensure that government rhetoric is followed in practice (UNIFEM 2000: 111). It involves analyses of the gender-differentiated impacts of government budgets, and changes in budgetary decision-making processes and priorities (Elson and Sharp 2010). GRB aims to mainstream gender across public policies, foster governments accountability for their gender equality commitments and shape public policy and the budget (Sharp and Broomhill 2002; Stotsky 2006). By focusing on the link between policy and its funding, GRB turns womens entitlements and rights into reality.

The implementation of GRB has taken a range of forms across the world depending on its political location, the extent of coverage of the exercise, the structure of the budget, the stage of the exercise in the budget and the way in which findings and results are presented and by whom (Elson 2002). There is no blueprint for these initiatives. Instead in each country the connections between the budget and the existing pattern of gender inequality needs to be deconstructed to identify what is necessary to bring about positive change. Of particular importance is identifying both

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the constraints and factors for success to determine the most suitable strategies (Sharp and Vas Dev 2006: 97).

GRB focuses on elements that are critical to the debate on state fragility, including the politics that surround policy and budget processes; transparency and accountability in government business, and institutional effective service delivery. The term fragile states remains contested (see Baranyi and Powell 2005, World Bank 2009a). The Organisation for Economic Cooperation and Development (OECD) (2008: 16) for example, defines fragile state as being unable to meet its populations expectations or manage changes in expectations and capacity through the political process, with governments political legitimacy described as a crucial element to understand state fragility and its causes. The World Bank (2009b) summarizes the challenge for these countries: weak institutions and high risks of conflict constrain efforts to reduce poverty, limit service delivery to their populations, and create potential negative spillovers for neighboring countries (World Bank 2007; World Bank 2009b). Some commentators have argued that fragile states should not engage in GRB, regarding it as a resource intensive task requiring significant analytical skills, time and resources that are scarce in fragile states. This debate was outlined in the 10th Triennial Conference of Pacific Women in 2007 where it was argued that countries with weak policy and budgetary system should get the basics right, including institutional capacity in planning, development, evaluation and monitoring. With significant pressure on resources it was argued that addressing public financial management needs should be their priority (Suhas and Naidu 2007).

Being a fragile state however does not exclude opportunities for GRB work. State

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fragility is not only a contested concept but also a matter of degree ranging from states that only exist in name and are unable to provide protection or welfare to anyone, to states that are able to deliver most public goods to most of their citizens (see Baranyi and Powell 2005). This points to caution in assuming fragile states as unable to engage with the gender issues in their policy and funding. This is the case of Timor-Leste, which while described as a fragile state, has demonstrated a strong capacity to engaged in positive policy and budgeting change. In addition GRB work contributes to fulfill the broader institutional reform agenda often interwoven to the fragile states debate including governance, participation, economic policy and budget decision-making (Budlender and Hewitt 2003).

A factor in the success of GRB is broad and high-level commitment across government, involving ministers of finance, cabinet, the national womens machinery and sector specific ministries. This broad commitment may need to be fostered. Research has highlighted that political commitments to GRB are often patchy, with tensions over who takes leadership and a mismatch in interests and skills with the ministries of finance usually lacking skills and interest in gender, and the womens machinery often deficient in skills and human, technical and budgetary resources (Budlender and Hewitt 2003; Quinn 2009).

The broader policy framework on gender equality and mainstreaming can offer an important anchor for GRB (Quinn 2009; UNIFEM 2000; Sharp and Broomhill 2002). International human rights covenants, and their underlying reporting processes, have also been an important avenue to build demand at the national level. While important, the alliances between local and international actors are critical to bring about the

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implementation of these international norms (see Hall 2009). Also important for the expansion of GRB initiatives has been the move towards results oriented and/or performance based budgeting (Budlender 2009). Fragile states face particular tensions between the various different, and potentially contradictory, reform agendas.

Parliaments can play a crucial role in scrutinizing the budget for how it honors national and international commitments on gender equality (Wehner and Byanyima 2004). Women in parliament specifically, often keep the focus on gender equality in the political agenda. Framing elected womens willingness to become advocates are factors such as party ideology, the proportion of women elected, the self-identification of those elected with values of gender equality and womens empowerment, the existence of womens caucuses within parties or parliament, the engagement with womens movement organizations, and the overall activity of the womens movement (Sawer 2004). Governance is at the heart of the fragile state agenda. So is the relationship between government and parliament, which is often far from collaborative.

External pressure outside of government, is a critical factor for the implementation of GRB. This was well illustrated in the case of Australia where a once strong GRB initiative has been progressively dismantled in the absence of active external pressure and scrutiny from civil society (Sharp and Broomhill 2002; Sawer 2002; Budlender and Hewitt 2003). GRB work puts the focus back on the accountability interactions between state and society, an area that has had little attention within the fragile states debate (Harcourt 2009). Research has suggested that in fragile states the challenge for civil society is to engage more effectively in policy dialogue () building on their

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programmatic experience of working directly with poor communities (Dowst 2009: 11). In these contexts, where institutions are weak and choice over service delivery is limited, women have benefitted from actively engaging in politicizing their interests to make policy planning and service delivery more responsive (UNIFEM 2008).

International aid agencies have over the past two decades provided significant support to GRB in developing countries, both through financial and technical support and by incorporating gender issues in public finance reforms. Afghanistan provides an illustration of the critical role played by international aid agencies in the introduction of GRB (Costa, Sharp, Elson et al 2009). However the commitment of international agencies, without significant engagement from actors inside and outside government, is not enough to generate change. Research in South Africa draws attention to the care that needs to go into such analysis. This research provides an illustrative example of a senior finance official believing that the government does not need to provide much financial support to the national women's machinery as this area is perceived to be favored by the aid community (Budlender and Hewitt 2003). The pressure of international organizations in fragile states can be significant. So much so that recently a platform to provide voice to countries experiencing conflict and fragility and foster cooperation between these and development partners was established. This platform, the g7+, focuses on improving aid delivery and involves Afghanistan, the Central African Republic, the Democratic Republic of Congo, Haiti, Ivory Coast, Sierra Leone and Timor-Leste. Timor-Leste is a co-chair of this platform.

Gender sensitive research and data are vital to guide positive policy outcomes. GRB initiatives have contributed to improve budget and policy decision-making by making

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sex-disaggregated data available, expanding data collected and using it in decisionmaking processes (Sharp and Elson 2008). In a recent analysis of the gendered impact of the global economic crisis, Diane Elson (2010: 210) identifies an agenda for data, including sex-disaggregated statistics of various kinds, and data which enable us to plug existing gaps in our knowledge, since the data the governments regularly produce still continue to leave out womens unpaid work and much of their informal paid work. The foreign paradigm of evidence-based policy-making has had limited take-up in fragile states partly due to low levels of capacity and poor education in science amongst the general public. According to Jones, Jones and Walsh (2008: 37) adopting this paradigm requires a great sensitivity to culture, power structures and local knowledge. Gender order is one of these power structures.

Timor-Leste, a fragile state, has adopted GRB and is now embarking on its implementation. They have achieved this through a strong engagement in policy and budgeting debates and by focusing on improving planning processes. This experience offers a unique opportunity to analyze a fragile state as it translates this commitment into practice. With this in mind I embarked on a PhD research program in 2009 to explore how GRB work can further a gender equality agenda and improve womens access to their rights and entitlements in fragile states. This paper provides a review of my findings thus far. It explores the conditions under which GRB is being implemented in Timor-Leste, specifically I will discuss the enabling and constraining factors for its implementation.

STEPS TOWARDS GENDER RESPONSIVE BUDGETING IN TIMORLESTE 7

GRB is in its early stages in Timor-Leste. To date it has taken the form of establishing an institutional framework for undertaking GRB work and providing awareness raising and training opportunities' (Costa, Sharp and Elson 2009: 9). The first political commitment to GRB came through a short gender statement introduced in the 2008 budget. It identified as priority actions the whole of government policy for women, a gender approach to medium and long term planning and the 2009 budget (Ministry of Finance 2008). More detail was provided in the 2010 gender budget statement, which anchored the GRB model in the annual planning cycles and tools. The statement outlines the strategy:the Government has intensified its gender approach to the formulation of the Annual Action Plans in the 2010 Budget. All annual action plans [AAPs] have been submitted to the Secretary of State for Promotion of Equality for evaluation and comment. It is intended over time that specific measurable performance indicators in the AAPs will contribute to gendersensitive approaches as part of Budget documentation (Ministry of Finance 2010: 12).

This gender statement was a great achievement in a short timeframe. However in 2011 the gender budget statement disappeared from the budget documents.

Parliament and the womens movement supported these political commitments. Parliament and the womens movement signed, as part of the 2008 International Womens Day celebrations, a government led statement re-affirming a commitment to improving the budgets responsiveness to gender equality. This agreement (known as Dili commitment) gained political currency in a special international womens day sitting of parliament (Costa, Sharp and Elson 2009).

In 2009 GRB gained further support with a resolution on GRB developed by the womens parliamentary caucus and approved by the parliament in 14 July 2009

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(Resolution n. 12/2010). This resolution assigned responsibilities for the implementation of GRB to parliament, the ministry of finance, the line ministries and the womens machinery in government, non-governmental organizations (NGOs) and donors. The responsibility for assessing the implications of budget decisions for progressing gender equality was attributed to the womens caucus and the permanent parliamentary Committee on Poverty Elimination, Regional and Rural Development and Gender Equality. The government was urged to implement GRB, including establish a committee for budget coordination, improve gender-sensitive data collection and analysis, improve coordination with civil society and implement the political agenda of the womens movement. Finally ministries were urged to provide adequate funding for womens economic, social and cultural activities. Through these directions the resolution acknowledges the role of the budget for womens access to their rights and entitlements. It recommended the use of GRB tools and methods and outlined a broad scope of work including macro-economic policy, service provision, legislation, policy and budget coordination, donor coordination, national priorities and the MDGs. The significance of the broader and international policy frameworks was well illustrated by this resolution, which drew significantly CEDAW, the Constitution and the agreement signed in 2008 (Parlamento Nacional 2010).

ACTORS INVOLVED Government, parliament, social movements, academics and international agencies have, to a degree, been engaged with GRB work in Timor-Leste. Leading GRB work in government has been the national womens machinery in government, the Secretary of State for Promotion of Equality (SEPI). SEPI has a mandate to further gender equality and is implementing gender mainstreaming including by setting up a

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network of gender equality working groups in each ministry. SEPIs work in this field is diverse involving for example, training for budget officers in gender analysis as part of preparation for the 2012 budget.

Another critical actor in GRB in Timor-Leste has been the parliament and specifically the cross-party womens caucus in parliament. The cross-party womens caucus was formally established in 2006. Following the 2007 elections the womens caucus was re-instated with a more significant mandate. The womens caucus was created in response to the need to ensure that womens voices and needs are heard and put on the main agenda of the work of the National Parliament (Costa 2009: 4). Significant efforts have been directed by the caucus to laying out a five-year gender strategy and action plan to make concrete actions for the improvement of womens equal political participation and gender equality (Costa 2009: 4). As part of this effort in 2008 a gender resource centre was established with UN support. This resource centre has been adopted by the parliament as an integral part of the parliamentary structure including through government co-funding. Further complementing the pushes towards gender equality and GRB in the parliament are the specialized Committee on Poverty Reduction, Rural and Regional Development and Gender Equality and the SubCommittee on Gender Equality (Costa 2009).

The social movement involvement with GRB work has included training and awareness raising. The womens movement has also played a critical role in drawing attention to womens concerns and their development priorities (Costa, Sharp and Elson 2009). In 2000 close to 500 East Timorese women gathered in the national womens congress and agreed on a Platform for Action for the Advancement of

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Women (also known as Platform for Action). This Platform identified a series of priority issues, and recommendations, including on poverty and violence against women (Hunt 2008; Cristalis and Scott 2005). Also in the national congress the peak body organization for women was born, Rede Feto. This peak body has played a critical role in furthering womens interests in Timor-Leste. Rede Feto involves around twenty womens organizations, including high-profile NGOs, womens wings of political movements, and religious and cultural organizations (Pires 2004). Since 2000 Rede Feto has held regular national womens congresses and updated its Platform of Action. This Platform for Action provides guidance on the broad policy directions set by the government while highlighting the gender specific issues that need to be addressed. The womens movement has used this Platform for Action to foster cooperation amongst the womens movement and influence policy decisions and processes, including mobilizing support for quotas for women in electoral law. While autonomous, the womens movement has strong relationships with political parties, government and parliament. Through this process these activists are engaged in the institutionalisation of gender equality goals and womens rights in service delivery (Costa forthcoming).

International agencies and donors have also played a vital role in GRB via financial and technical contributions (Costa, Sharp and Elson 2009). Contributions from UN Women for example, have included training of parliamentarians, government officials and NGOs about GRB (see Costa, Sharp and Elson 2009). In a sign of the continued support to GRB the UN has recently advertised a consultancy position to develop a handbook for gender focal points on gender mainstreaming and GRB.

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IMPLEMENTING GENDER RESPONSIVE BUDGETING? CHALLENGES FOR A FRAGILE STATE Significant to framing the challenges of implementation of GRB in Timor-Leste is its status as a fragile state. It is now widely accepted that Timor-Leste is a fragile state; including among the political elites. One of the results of the focus of the international community on fragile states is a key focus on strengthening the state functions. This is evident in Timor-Leste where GRB work emerged amidst institutional and public finance reform. There has been a significant investment in improving centralized budgeting functions and in linking the national planning process to the budgeting process. Pivotal in these reform efforts have been international aid which has provided, since 1999, technical expertise, individual training to civil servants and support for the development and improvement of administrative procedures (Costa 2008; Costa, Sharp and Elson 2009; Costa, Sharp and Austen 2009; Rosser 2008). Notwithstanding these efforts, weak capacity remains a core challenge to peace and political stability: The cause of our fragility is state-building, and capacity is the issue at the heart of state-building (Timor-Leste Government and OECD 2009: 14). This has hardly meant that GRB was out of the sight of actors inside and outside government. Within significant constraints all actors have contributed to make policy, and its funding more gender-responsive.

Another area of concern for political stability and peace is the countrys over-reliance on wealth from natural resources2 which has led many actors to draw attention to the linkages between revenue sources and poor development outcomes - the resource

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In 2008 96.6 percent of the governments revenue was directly drawn from oil reserves. Non-oil domestic revenue was a mere 3 percent (Timor-Leste Government and OECD 2009).

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curse (Costa, Sharp and Elson 2009; Costa, Sharp and Austen 2009; Rosser 2008). While there is significant evidence of the prevalence of corruption within the state bureaucracy in Timor-Leste, the Corruption Perception Index (published by Transparency International) has improved from 146 to 127 between 2009 and 2010. According to the government this is partly the result of the establishment of an AntiCorruption Commission and reforms to public financial management systems and processes supported by the World Bank including the requirement that all expenditure is assessed independently and audited reports are submitted to parliament. Further the government announced its status as a complying country by the Extractive Industries Transparency Initiative, the international oversight mechanism to ensure transparency and accountability in resource rich nations (Timor-Leste Secretary of State for the Council of Ministers 2010).3 While transparency and timeliness of financial information has improved (see Transparency Portal) some NGOs argued in 2009 that [a]ll too often, foreign consultants prepare proposals which are discussed in secret by the Council of Ministers, only to become public after they are enacted by the Council and/or sent to Parliament, and disclosed by Members of Parliament (Lao Hamutuk 2009). Openness and transparency is patchy across the government. While agencies such as the Banking and Payments Authority and the National Statistics Department have a degree of openness others fail to release annual reports. These NGOs call for embedding the principle of free information exchange in the day-to-day business of the government (Lao Hamutuk 2009).

Many researchers have argued that state building efforts provide an opportunity for setting the foundation for gender equality and for men and womens involvement in3

Established in early 2000s this initiative is based in Norway and is managed by the World Bank for more details see http://eiti.org/.

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the development process (Harcourt 2009; Moser 2007; Porter 2007). While these moments of change offer opportunities for new leaders, institutions and laws to emerge [g]ender-equitable laws and policies are more likely to occur when there is a critical mass of capable women who defend womens rights to other women and convince men of the need for equal rights (Porter 2007: 14). This is certainly the case in Timor-Leste where 29 percent of members of parliament are women. This strong representation does not however have a parallel in the executive where a mere five women, in 39, hold senior positions. The continuing campaign by the womens movement around womens uneven representation in politics has provided those women elected, a mandate to voice womens concerns and bring about positive changes. The broad feminist advocacy coalition that exists in Timor-Leste has provided important support to women activists in parliament and in the executive affecting significant policy developments such as the passage and implementation of the domestic violence law (Costa, Sawer and Sharp forthcoming).

Capacity strengthening to implement GRB has been an area that has received significant focus in government. This is occurring while the national womens machinery, SEPI, has been investing significantly in expanding its team and its network in the ministries. The pressure on SEPI is significant. Recently the government decided to boost its network in the ministries through gender working groups which aimed to establish more effective coordination for gender mainstreaming (Rodrigues 2011). For GRB to be effectively implemented, and sustainable, these gender working groups and SEPI will need to be well-versed in gender and budgeting issues and in GRB tools. The commitment to GRB across the machinery of government could benefit from increased visibility. The disconnect

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between high-level policy making and service delivery remains an area of significant concern for gender equality advocates. This vulnerability was well illustrated in an analysis of the determinants of girls attendance at school in Timor-Leste. This research highlighted that gender commitments adopted time and time again in policy documents have not translated well into activities, program and budget decisions. As a result the particular factors that affect the education outcomes for girls are being overlooked and programs are failing to achieve their targets (Costa, Sharp and Austen 2009: 11).

Gender-aware budget statements are important political will declarations and tools for governments accountability to gender equality (Budlender and Sharp 1998). In Timor-Leste statement, while not a traditional gender-aware statement, was important in indicating to the womens movement and the parliament the approach adopted to engender the budget and policy-making (Costa forthcoming; Costa, Sharp and Austen 2009). It was a significant achievement for activists in government. Moving forward this statement can also be used in Timor-Leste to engage a range of different areas of the government in a gender-analysis of service delivery.

Support for gender equality issues seems uneven. This was well illustrated in research by Nina Hall into how norms on gender equality and womens empowerment are diffused in Timor-Leste. This research suggested that senior East Timorese political leaders were concerned with what they perceived to be too much of a focus on women by international agencies, at the expense of other issues described as more important such as poverty (Hall 2009: 318). These results echo the debate on whether fragile states should pursue gender equality initiatives given the pressure over limited

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resources and capacity. A difficult issue for those activists engaged in GRB work is that it can be perceived as an issue of concern only to women (see Costa, Sawer and Sharp forthcoming).

Over the past two budget debates the cross-party parliamentary womens caucus has provided comments to budget for its gender-responsiveness and has contributed to improve budget allocations for gender issues (see Costa, Sawer, Sharp forthcoming). While no doubt the womens caucus has been a critical actor to keeping gender on the political agenda, it has faced some internal challenges (Costa 2009: 6). The vice president of parliament Maria Paixo da Costa goes on to say that internal communication amongst caucus members needs to be improved. She observes that awareness needs to be raised about womens contribution to the political debate. The national parliament is still a male-dominated legislative body (Costa 2009: 4) and so too are the political parties. Overall gender equality remains a marginal political issue with a mere five political parties giving priority to womens issues in the 2007 election (Fokupers 2009). Yet most political parties are said to have taken steps to increase the presence of women and some have establish party-based structures for women (see Ospina 2006). Efforts to bring gender equality issues to the forefront of the parliaments business require more focus on the institutions-building both in parliament and in the political parties. There is nonetheless a limit to the impact of positive changes in this sphere. While the parliament has approved a resolution supporting GRB, it cannot formally force the government executive to act on it (see Costa, Sawer and Sharp forthcoming).

Important to feminizing the political agenda in Timor-Leste has been the contribution

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of the womens movement with an united voice and an active network around Rede Feto. While the Platform of Action has the potential to guide policy directions it would benefit from some in-depth analysis to advise policy-makers. Social movements have been increasingly active around GRB, and are doing so under significant constraints including knowledge on the budget processes, limited access to research on gender issues and sex-disaggregated data analysis to advice policymakers (Costa forthcoming).

Traditionally in fragile states the interaction between research and policy-making is frail. There is nonetheless in Timor-Leste a deep interest in supporting research. Government, parliament and social movements have all provided a welcoming response to probes from academics. Indeed the Ministry of Education and the Ministry of Finance have been very responsive to requests for access data for research purposes such as administrative data on enrollment and teachers and living standards data. So have individuals. Availability to discuss ideas, to engage in focus groups and interviews is very present in Timor-Leste. Across the board there is a sense that the engagement with academics is useful to further policy responses and bring about positive policy outcomes. Academia in Timor-Leste and abroad has played some role in GRB work. For example SEPI, with international support, fostered a working relation with national and foreign academics and universities on research on gender issues with the aim of guiding positive policy outcomes. The Australian government, through its international development agency (AusAID), funded research on the practices and potential of GRB which led to a partnership between the research team and SEPI involving training of and briefings to senior

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government officials (see Costa, Sharp and Elson 2009). No doubt more research is required to flesh out the links between research and policy-making.

CONCLUSION Being a fragile state has not prevented Timor-Leste from engaging with gender equality to improve womens access to their rights and entitlements; which served as impetus for demands for policy change. This paper identifies a range of enabling and constraining factors for the implementation of GRB in the new and fragile state of Timor-Leste. While GRB work in Timor-Leste remains in its early days, there are some achievements to celebrate. In a recent speech the Secretary of State for Promotion of Equality announced that as a result of intensive gender mainstreaming efforts in the line ministries and parliament two important results had been achieved in the 2011 budget with the allocation of $1.45 million for the implementation of the law against domestic violence and of $500,000 for training of women on nutrition and market agriculture production (Rodrigues 2011: 2). This is no doubt something to celebrate. Behind these achievements were several enabling factors including a degree of political will, supported by the commitment of parliament and social movements. Also significant have been favourable structures with strong mandates to further gender equality such as the womens machinery in government and the cross-party womens caucus in parliament. International agencies and international agreements have also played a role in supporting these initiatives, including through research on gender equality and womens empowerments issues.

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However Timor-Lestes fragile status draws attention to some of the challenges ahead of furthering womens access to their rights and entitlements. While there has been political will supporting GRB this support remains patchy and principally in the hands of women activists. Men remain poorly engaged, and so are some departments. Uneven commitment may erode progress thus far as is the example of the omission of the gender statement. While institutions are new the issue of capacity remains critical for GRB. Progress in this area is dependent on a significant boost in technical skills both on budgeting and gender issues. No doubt there is a wide experience amongst activists inside and outside government on how to bring gender equality issues to the reform agenda and the core of institution building (see the example of gender quotas in the electoral law). There is also a growing focus on the broader policy framework and on processes of planning and budgeting. These experiences may be of use to further implement GRB.

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