East Timor will eventually end up as a failed state. It is too small to be viable as an independent nation. May be it should join the Commonwealth of Australia as its newest state (the Indonesians will not like that though). Not sure if Tasmania is bigger than it :-)
Quite a few of the South Pacific island states will probably face the same fate, viz, ending up as failed states needing support from Australia and New Zealand. I quite like the idea floated some time last year that these island states formed a federation and became a federation of states instead of existing as separate independent states as they are now. However, some of the smaller states may not like the idea of Fiji becoming the big brother within the federation.
