Lying north of Australia across the Timor Sea, the island of Timor has a narrow coastal plain giving way to forested highlands. Its mountainous backbone rises to 2963 m (9715 ft.). The eastern half was colonized for over 400 years by the Portuguese, then occupied from 1975 by Indonesia, whose forces hunted down all resistance. A referendum in 1999 launched a turbulent transition to independence in May 2002.

East Timor is almost entirely Roman Catholic. Pre-independence violence was politically rather than ethnically motivated. The Timorese are a mix of Malay and Papuan peoples. Many indigenous Papuan tribes survive and there is an urban Chinese minority. Ethnic Indonesian settlers became numerous after annexation, and consisted 20% of the population by 1999.

Women do not enjoy a high profile in public life. The incidence of domestic violence is notably high.

Strengths

Potential from oil and natural gas reserves in Timor Sea. Traditional agricultural base: coffee the main export.

Weaknesses

Infrastructure devastated by 1999 violence. Insecurity deterred investment. Undeveloped industrial sector.

East Timor is an emerging multiparty democracy. The Fretilin movement was the leading voice in the long struggle for independence. Turnout at recent elections was high.

After years of unrest and human rights abuses committed by the Indonesian army, the Indonesian government in 1999 conceded a referendum on East Timor�s future. Pro-Indonesian militias went on the rampage, murdering hundreds in indiscriminate attacks, and forcing thousands of people into the Indonesian-controlled western half of the island. An international peacekeeping force, led by Australia, eventually secured relative calm and organized the promised vote on 30 August 1999. An overwhelming 80% of voters endorsed independence.

The UN Mission in East Timor was given full power over the territory in October. Fretilin emerged as the outright victor in elections in late 2001 for the new Constituent Assembly. Its popular leader, Xanana Gusmão, reversed his earlier decision to retire from politics and was duly elected president in 2002. Independence took effect on 20 May that year.

The new government, headed by Prime Minister Mari Alkatiri, has pledged to concentrate spending on health and education.

The country has few natural resources. In 2001 East Timor successfully negotiated with Australia for a greater share of the oil under the Timor Sea.

Life expectancy in East Timor has traditionally been lower than in the rest of the Indonesian archipelago. Most doctors left the province in 1999.

During Indonesian domination, classes were taught in Bahasa Indonesia. The number of students attending school and university has already begun to recover from the sharp decline in 1999.

Living standards, already relatively low for the region, were made worse by the events of 1999. Thousands were left homeless. Well-paid UN staff enjoy a sharply contrasting lifestyle.

The Portuguese arrived in Timor in the 1520s. It was formally divided by Portugal and the Netherlands in 1859.

• 1949 Dutch west Timor becomes part of Indonesia.
• 1975 Fretilin declares East Timor independent; Indonesia invades.
• 1991 Massacre of pro-independence demonstrators in Dili.
• 1996 Timorese leaders receive Nobel Peace Prize, raising global awareness.
• 1999 Indonesian government agrees to hold referendum; resulting violence quelled by UN force.
• 2001 Elections to new Constituent Assembly; Fretilin wins majority.
• 2002 Xanana Gusmão elected president. Independence.