Value for Money Analysis of the Research Budget tt INCT- Timor-Leste (2021–2024): An Impact-Based Budgeting Approach

Abstract

This study evaluates the budget performance of research programs at the National Institute of Science and Technology (INCT) Timor-Leste for the period 2021–2024 using the Value for Money (VfM) framework. While previous research highlights high administrative budget absorption, the link between financial inputs and policy outcomes remains under-analyzed. This research employs a descriptive quantitative approach, integrating internal financial records totaling $233,500 and survey responses from 72 strategic stakeholders to contextualize performance within an average negative budget growth rate of -14.03%. The findings reveal an 'Excellent' VfM performance across all dimensions. In terms of Economy, INCT demonstrates institutional resilience by reducing the average unit cost per research project by 27.7%, successfully optimizing limited resources. Efficiency is evidenced by an average budget absorption rate of 94.15%, which transforms into 139 tangible products, including 50 final research reports and 89 dissemination activities. Furthermore, the effectiveness analysis confirms INCT’s role as a primary provider of evidence-based insights, with a majority of stakeholders confirming the direct integration of research findings into decision-making. INCT successfully transitions toward a result-oriented management model that supports the 'Institutional Framework' pillar of the Timor-Leste Strategic Development Plan (PEDN) 2011–2030. This study proves that fiscal contraction does not necessarily impede scientific utility when coupled with institutional resilience. The study recommends the establishment of a Digital Knowledge Management System and a stable funding model to ensure long-term scientific innovation and evidence-based governance.