Timor-Leste has emerged from its dark past and extremely low levels of development with some cause for optimism. A range of human development indicators, from infant mortality to longevity and education, have all begun to trend more positively, government programs have alleviated some of the worst effects of poverty and infrastructure is being developed.
But Timor-Leste still faces significant challenges, which its new government, no matter who is elected this year, will have to deal with. These challenges fall into three categories; the environment, the resources curse, and human capacity.
At one level, Timor-Leste has a physical environment that is set. The soil is relatively poor, especially on the north coast, its capacity to produce crops is limited and its rainy season is usually brief, in regional terms, but often very heavy. Added to the mountainous nature of the land, cropping is difficult, poor seasons are common and torrential rains can wash away crops in a day.