diff --git a/packages/components/CHANGELOG.md b/packages/components/CHANGELOG.md
index 5df10f16b91942..b50e7dce23c905 100644
--- a/packages/components/CHANGELOG.md
+++ b/packages/components/CHANGELOG.md
@@ -22,6 +22,7 @@
 -   `BorderControl`: Refactor unit tests to use `userEvent` ([#54155](https://github.com/WordPress/gutenberg/pull/54155))
 -   `FocusableIframe`: Convert to TypeScript ([#53979](https://github.com/WordPress/gutenberg/pull/53979)).
 -   `Popover`: Remove unused `overlay` type from `positionToPlacement` utility function ([#54101](https://github.com/WordPress/gutenberg/pull/54101)).
+-   `Higher Order` -- `with-focus-outside`: Convert to TypeScript ([#53980](https://github.com/WordPress/gutenberg/pull/53980)).
 -   `IsolatedEventContainer`: Convert unit test to TypeScript ([#54316](https://github.com/WordPress/gutenberg/pull/54316)).
 
 ### Experimental
diff --git a/packages/components/src/combobox-control/index.tsx b/packages/components/src/combobox-control/index.tsx
index eb8ae89c0971e5..f4292d9980ee41 100644
--- a/packages/components/src/combobox-control/index.tsx
+++ b/packages/components/src/combobox-control/index.tsx
@@ -36,16 +36,18 @@ import { useDeprecated36pxDefaultSizeProp } from '../utils/use-deprecated-props'
 
 const noop = () => {};
 
+interface DetectOutsideComponentProps {
+	onFocusOutside: ( event: React.FocusEvent ) => void;
+	children?: React.ReactNode;
+}
+
 const DetectOutside = withFocusOutside(
-	class extends Component {
-		// @ts-expect-error - TODO: Should be resolved when `withFocusOutside` is refactored to TypeScript
-		handleFocusOutside( event ) {
-			// @ts-expect-error - TODO: Should be resolved when `withFocusOutside` is refactored to TypeScript
+	class extends Component< DetectOutsideComponentProps > {
+		handleFocusOutside( event: React.FocusEvent ) {
 			this.props.onFocusOutside( event );
 		}
 
 		render() {
-			// @ts-expect-error - TODO: Should be resolved when `withFocusOutside` is refactored to TypeScript
 			return this.props.children;
 		}
 	}
diff --git a/packages/components/src/higher-order/with-focus-outside/index.js b/packages/components/src/higher-order/with-focus-outside/index.tsx
similarity index 79%
rename from packages/components/src/higher-order/with-focus-outside/index.js
rename to packages/components/src/higher-order/with-focus-outside/index.tsx
index 41a7d9c9c3ea47..d340874b8bf136 100644
--- a/packages/components/src/higher-order/with-focus-outside/index.js
+++ b/packages/components/src/higher-order/with-focus-outside/index.tsx
@@ -1,5 +1,3 @@
-//@ts-nocheck
-
 /**
  * WordPress dependencies
  */
@@ -11,9 +9,14 @@ import {
 
 export default createHigherOrderComponent(
 	( WrappedComponent ) => ( props ) => {
-		const [ handleFocusOutside, setHandleFocusOutside ] = useState();
-		const bindFocusOutsideHandler = useCallback(
-			( node ) =>
+		const [ handleFocusOutside, setHandleFocusOutside ] = useState<
+			undefined | ( ( event: React.FocusEvent ) => void )
+		>( undefined );
+
+		const bindFocusOutsideHandler = useCallback<
+			( node: React.FocusEvent ) => void
+		>(
+			( node: any ) =>
 				setHandleFocusOutside( () =>
 					node?.handleFocusOutside
 						? node.handleFocusOutside.bind( node )
diff --git a/packages/components/src/higher-order/with-focus-outside/test/index.js b/packages/components/src/higher-order/with-focus-outside/test/index.tsx
similarity index 85%
rename from packages/components/src/higher-order/with-focus-outside/test/index.js
rename to packages/components/src/higher-order/with-focus-outside/test/index.tsx
index ed0e70f2ec37a6..a53a1cf11298df 100644
--- a/packages/components/src/higher-order/with-focus-outside/test/index.js
+++ b/packages/components/src/higher-order/with-focus-outside/test/index.tsx
@@ -12,17 +12,21 @@ import { Component } from '@wordpress/element';
 /**
  * Internal dependencies
  */
-import withFocusOutside from '../';
+import withFocusOutside from '..';
 
-let onFocusOutside;
+interface TestComponentProps {
+	onFocusOutside: ( event: FocusEvent ) => void;
+}
+
+let onFocusOutside: () => void;
 
 describe( 'withFocusOutside', () => {
-	let origHasFocus;
+	let origHasFocus: typeof document.hasFocus;
 
 	const EnhancedComponent = withFocusOutside(
-		class extends Component {
+		class extends Component< TestComponentProps > {
 			handleFocusOutside() {
-				this.props.onFocusOutside();
+				this.props.onFocusOutside( new FocusEvent( 'blur' ) );
 			}
 
 			render() {
@@ -36,15 +40,13 @@ describe( 'withFocusOutside', () => {
 		}
 	);
 
-	class TestComponent extends Component {
-		render() {
-			return <EnhancedComponent { ...this.props } />;
-		}
-	}
+	const TestComponent: React.FC< TestComponentProps > = ( props ) => {
+		return <EnhancedComponent { ...props } />;
+	};
 
 	beforeEach( () => {
 		// Mock document.hasFocus() to always be true for testing
-		// note: we overide this for some tests.
+		// note: we override this for some tests.
 		origHasFocus = document.hasFocus;
 		document.hasFocus = () => true;
 
diff --git a/packages/compose/src/hooks/use-focus-outside/index.ts b/packages/compose/src/hooks/use-focus-outside/index.ts
index 8d50a078ad70b5..3d85b588a9ab3a 100644
--- a/packages/compose/src/hooks/use-focus-outside/index.ts
+++ b/packages/compose/src/hooks/use-focus-outside/index.ts
@@ -1,16 +1,3 @@
-/**
- * External dependencies
- */
-import type {
-	FocusEventHandler,
-	EventHandler,
-	MouseEventHandler,
-	TouchEventHandler,
-	FocusEvent,
-	MouseEvent,
-	TouchEvent,
-} from 'react';
-
 /**
  * WordPress dependencies
  */
@@ -63,12 +50,12 @@ function isFocusNormalizedButton(
 }
 
 type UseFocusOutsideReturn = {
-	onFocus: FocusEventHandler;
-	onMouseDown: MouseEventHandler;
-	onMouseUp: MouseEventHandler;
-	onTouchStart: TouchEventHandler;
-	onTouchEnd: TouchEventHandler;
-	onBlur: FocusEventHandler;
+	onFocus: React.FocusEventHandler;
+	onMouseDown: React.MouseEventHandler;
+	onMouseUp: React.MouseEventHandler;
+	onTouchStart: React.TouchEventHandler;
+	onTouchEnd: React.TouchEventHandler;
+	onBlur: React.FocusEventHandler;
 };
 
 /**
@@ -82,7 +69,7 @@ type UseFocusOutsideReturn = {
  * wrapping element element to capture when focus moves outside that element.
  */
 export default function useFocusOutside(
-	onFocusOutside: ( event: FocusEvent ) => void
+	onFocusOutside: ( ( event: React.FocusEvent ) => void ) | undefined
 ): UseFocusOutsideReturn {
 	const currentOnFocusOutside = useRef( onFocusOutside );
 	useEffect( () => {
@@ -122,17 +109,18 @@ export default function useFocusOutside(
 	 * @param event
 	 * @see https://developer.mozilla.org/en-US/docs/Web/HTML/Element/button#Clicking_and_focus
 	 */
-	const normalizeButtonFocus: EventHandler< MouseEvent | TouchEvent > =
-		useCallback( ( event ) => {
-			const { type, target } = event;
-			const isInteractionEnd = [ 'mouseup', 'touchend' ].includes( type );
-
-			if ( isInteractionEnd ) {
-				preventBlurCheck.current = false;
-			} else if ( isFocusNormalizedButton( target ) ) {
-				preventBlurCheck.current = true;
-			}
-		}, [] );
+	const normalizeButtonFocus: React.EventHandler<
+		React.MouseEvent | React.TouchEvent
+	> = useCallback( ( event ) => {
+		const { type, target } = event;
+		const isInteractionEnd = [ 'mouseup', 'touchend' ].includes( type );
+
+		if ( isInteractionEnd ) {
+			preventBlurCheck.current = false;
+		} else if ( isFocusNormalizedButton( target ) ) {
+			preventBlurCheck.current = true;
+		}
+	}, [] );
 
 	/**
 	 * A callback triggered when a blur event occurs on the element the handler
@@ -141,7 +129,7 @@ export default function useFocusOutside(
 	 * Calls the `onFocusOutside` callback in an immediate timeout if focus has
 	 * move outside the bound element and is still within the document.
 	 */
-	const queueBlurCheck: FocusEventHandler = useCallback( ( event ) => {
+	const queueBlurCheck: React.FocusEventHandler = useCallback( ( event ) => {
 		// React does not allow using an event reference asynchronously
 		// due to recycling behavior, except when explicitly persisted.
 		event.persist();