ADB Grants $4 Million to Strengthen Climate-Resilient Roads in Timor-Leste

Timor-Leste’s rugged terrain and heavy seasonal rainfall have long posed challenges for transport and economic development.

The Asian Development Bank (ADB) has approved a $4 million grant to improve rural road transport connectivity and strengthen resilience to climate change in Ermera, one of Timor-Leste’s most remote and underserved regions. The grant, extended through the Asian Development Fund (ADF), aims to modernize an 11-kilometer road corridor linking isolated communities to markets, schools, and health centers, while ensuring that the infrastructure can withstand increasing climate risks.

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Building Climate-Resilient Infrastructure for Rural Communities

Timor-Leste’s rugged terrain and heavy seasonal rainfall have long posed challenges for transport and economic development. The Ermera–Fatubessi corridor — a vital route for rural farmers, traders, and families — often suffers from landslides, flooding, and erosion that cut off communities during the wet season.

Through the new ADB-supported project, the 11-kilometer stretch will be upgraded using nature-based solutions such as improved drainage systems, slope stabilization, reforestation, and bioengineering measures to reduce flood and landslide risks. These interventions are designed not only to safeguard the infrastructure but also to preserve the surrounding environment and improve long-term sustainability.

“Timor-Leste’s development progress is facing growing risks from extreme weather,” said ADB Country Director for Timor-Leste Stefania Dina. “This project empowers rural communities to stay connected to markets, essential services, and livelihoods. By enhancing the government’s capacity to plan and maintain climate-resilient infrastructure, we are paving the way for a safer and more resilient Ermera — fully aligned with Timor-Leste’s vision for climate resilience.”

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Strengthening Institutional and Community Capacity

Beyond upgrading physical infrastructure, the project has a strong institutional and social development component. It will build the technical and management capacity of the Directorate General of Roads, Bridges, Prevention, and Flood Control under the Ministry of Public Works, ensuring that local authorities are equipped to adopt risk-informed planning, maintenance, and monitoring practices.

Local communities living along the corridor will also benefit through community-based training and participation programs, promoting inclusive development and local ownership. These programs aim to create awareness of disaster risk management, improve local skills in maintenance, and foster job opportunities in construction and road upkeep.

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Supporting Timor-Leste’s National Resilience Goals

The ADB’s investment supports Timor-Leste’s Strategic Development Plan 2011–2030, which emphasizes sustainable transport, infrastructure resilience, and inclusive economic growth. It is also aligned with the country’s National Adaptation Plan for Climate Change, which prioritizes infrastructure designed to withstand extreme weather and reduce disaster-related losses.

ADB’s support is expected to catalyze further investments in resilient infrastructure, setting a replicable model for climate-proof rural transport systems in other districts. The initiative is also part of ADB’s broader regional strategy to strengthen climate adaptation, reduce poverty, and enhance economic inclusivity across Southeast Asia’s small and vulnerable economies.

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Pathway to Economic Opportunity and Inclusion

Ermera, known for its coffee production and mountainous terrain, remains one of Timor-Leste’s least accessible areas. The improved road network will facilitate the movement of agricultural goods, boost market access, and lower transport costs for rural producers. By connecting villages more efficiently with district centers, it is expected to stimulate local business, tourism, and employment, while improving access to schools, clinics, and administrative services.

With climate shocks becoming more frequent and severe, climate-resilient transport systems are critical to ensuring that rural economies remain functional even during natural disasters. ADB’s investment is therefore a key step toward bridging infrastructure gaps, strengthening community resilience, and driving inclusive development in Timor-Leste’s heartland.