A report by members of the Portuguese parliament criticizes the UN Transition Administration in East Timor (UNTAET) as being "costly and not very efficient".

"UNTAET has been exemplary in fulfilling its mission of assuring security and socio-economic stabilization in the territory. But its administration is costly, not very efficient and has not resulted in a timely preparation of East Timorese personnel for future administration", states the report by the legislature's East Timor affairs commission, which visited the territory last February and March.

The report, which is to be released Thursday in Lisbon, concludes that the process of "Timorization" of the territorial administration is "clearly insufficient at the highest levels", although it recognizes progress since the legislators last visited East Timor in April 2000.

The MPs note that the situation in the half-island is now one of "more security, a bit more construction and a more lively economy", but alert to the fact that "most of the population continues to be unemployed, with no goals or future prospects".

They also criticize the "tight deadlines" and vague definition of the political process leading up to the election, set for August 30, of a constituent assembly whose job will be to prepare and approve a constitution by the end of the year.

The report is the result of the factfinding trip to East Timor, Indonesia and Australia undertaken by a delegation of MPs headed by Anacoreta Correia and including Carlos Santos, Armenio Santos, Rodeia Machado and Luis Fazenda.