East Timor resistance hero Xanana Gusmao stands down

East Timor resistance hero Xanana Gusmao has submitted his resignation as prime minister, the government said yesterday, after more than a decade leading the half-island nation during the early years of its independence.

The president must now decide whether to accept the resignation of the 68-year-old, who has served as either president or prime minister since East Timor became independent in 2002 following a long struggle against Indonesian occupation.

The departure of the former guerrilla fighter would deprive East Timor of a unifying figure who has helped resolve numerous crises, but analysts say it is time for Gusmao to step aside to enable a transition to a new generation of leaders.

Speculation had been mounting that Gusmao would step aside soon after he began talks with the president earlier this week about a major government overhaul, which is expected to be announced in the coming days.

In a statement yesterday, the government said that Gusmao "has sent his letter of resignation from the post of prime minister to the president", Taur Matan Ruak.

"It is now for the president of the republic to consider and respond to the letter of resignation."

If it is accepted, then Gusmao will remain premier until a replacement is sworn in. He has "encouraged all members of government to work calmly in this time of transition until the new government is sworn in," the statement added.