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Palau, officially the Republic of Palau, Constitution of Palau . (PDF). palauembassy.com. Retrieved 1 June 2013. is an island country in the Micronesia subregion of Oceania in the western Pacific Ocean. The Republic of Palau consists of approximately 340 islands and is the western part of the Caroline Islands, while the eastern and central parts make up the Federated States of Micronesia.
It has a total area of , making it the sixteenth smallest country in the world. The most populous island is Koror, home to the country's most populous city of the same name. The capital, Ngerulmud, is located on the largest island of Babeldaob, in Melekeok. Palau shares maritime boundaries with international waters to the north, the Federated States of Micronesia to the east, Indonesia to the south, and the Philippines to the northwest.
The country was originally settled approximately 3,000 years Before Present by migrants from Maritime Southeast Asia. Palau was first drawn on a European map by the Bohemian missionary Pablo Clain based on a description given by a group of Palauans shipwrecked on the Philippine coast on Samar. The Palau islands were made part of the Spanish East Indies in 1885. Following Spain's defeat in the Spanish–American War in 1898, the islands were sold to German Empire in 1899 under the terms of the German–Spanish Treaty, where they were administered as part of German New Guinea.
After World War I, the islands were made a part of the Japanese-ruled South Seas Mandate by the League of Nations. During World War II, skirmishes including the major Battle of Peleliu were fought between American and Japanese troops as part of the Mariana and Palau Islands campaign. Along with other Pacific Islands, Palau was made a part of the United States-governed Trust Territory of the Pacific Islands in 1947. Having voted in a referendum against joining the Federated States of Micronesia in 1978, the islands gained full sovereignty in 1994 under a Compact of Free Association with the United States.
Politically, Palau is a presidential republic in associated state with the United States, which provides defense, funding, and access to social services. Legislative power is concentrated in the Bicameralism Palau National Congress. Palau's economy is based mainly on tourism, subsistence agriculture, and fishing, with a significant portion of gross national product (GNP) derived from foreign aid. The country uses the United States dollar as its official currency. The islands' culture mixes Micronesian, , Asian, and Western elements. Ethnic Palauans, the majority of the population, are of mixed Micronesians, Melanesians, and Austronesian descent. A smaller proportion of the population is of Japanese descent. The country's two official languages are Palauan language (a member of the Austronesian language family) and English, with Japanese, Sonsorolese, and Tobian language recognized as regional languages.
In December 1696, a group of sailors from the Caroline Islands were stranded on Samar, near Guiuan, when they met European missionary Pablo Clain. Using pebbles, the sailors attempted to show Klein the approximate location and size of the islands. He used this information to produce the first European map of the Palau area. Klein sent the map to Jesuit Superior General, along with a letter detailing the names of the islands, the culture of the people, and his experiences with them.
Later in 1899 as part of the Caroline Islands, Palau was sold by the Spanish Empire to the German Empire as part of German New Guinea in the German–Spanish Treaty (1899). During World War I, the Japanese Empire annexed the islands after seizing them from German Empire in 1914. Following World War I, the League of Nations formally placed the islands under Japanese administration as part of the South Seas Mandate. In World War II, Palau was used by Japan to support its 1941 invasion of the Philippines, which succeeded in 1942. The invasion overthrew the American-installed Commonwealth government in the Philippines and installed the Japanese-backed Second Philippine Republic in 1943.
In 2005, Palau led the Micronesia Challenge, which would conserve 30% of near-shore coastal waters and 20% of forest land of participating countries by 2020. In 2009, Palau created the world's first shark sanctuary, banning commercial shark fishing within its waters. In 2012, the Rock Islands of Palau was declared as a UNESCO World Heritage Site.
In 2015, Palau became a member of the Climate Vulnerable Forum under the chairmanship of the Philippines, and at the same time, the country officially protected 80% of its water resources, becoming the first country to do so. The protection of its water resources made significant increases in the country's economy in less than two years. In 2017, it became the first state in the world to establish an eco-promise, known as the Palau Pledge, which is stamped on local and foreign passports. In 2018, Palau and the Philippines began re-connecting their economic and diplomatic relations. The Philippines supported Palau to become an observer state in ASEAN.
The Compact of Free Association between the United States and Palau Compact of Free Association Between the Government of the United States of America and the government of Palau , preamble sets forth the free and voluntary association of their governments. It primarily focuses on the issues of government, economic, security, and defense relations. Compact of Free Association Between the Government of the United States of America and the government of Palau , Table of Contents Palau has no independent military, relying on the United States for its defense. Under the compact, the American military was granted access to the islands for 50 years. The U.S. Navy role is minimal, limited to a handful of Navy Seabees (construction engineers). The U.S. Coast Guard patrols in national waters. The government has agreed to host a large United States Air Force high-frequency radar station in Palau, an over-the-horizon-radar system costing well over $100 million, which is expected to be operational in 2026.
In November 2020, Surangel Whipps Jr was elected as the new President of Palau to succeed President Tommy Remengesau.
]]The United States maintains a diplomatic delegation and an embassy in Palau, but most aspects of the countries' relationship have to do with compact-funded projects, which are the responsibility of the U.S. Department of the Interior's Office of Insular Affairs. For example, as part of this compact, Palau was granted 96939 and 96940, along with regular U.S. Mail delivery. In international politics, Palau often votes in tandem with the United States on United Nations General Assembly resolutions. General Assembly – Overall Votes – Comparison with U.S. vote lists Palau as in the country with the third high coincidence of votes. Palau has always been in the top three.
Palau has maintained close ties with Japan, which has funded infrastructure projects, including the Koror–Babeldaob Bridge. In 2015, Emperor Akihito and Empress Michiko visited Peleliu to honor the 70th anniversary of World War II.
In 1981, Palau voted for the world's first nuclear-free constitution. This constitution banned the use, storage, and disposal of Nuclear weapon, Chemical weapon, gas, and biological weapons without first being approved by a 75 percent majority in a referendum. This ban delayed Palau's transition to independence because while negotiating the compact, the U.S. insisted on the option to operate nuclear-propelled vessels and store nuclear weapons within the territory, prompting campaigns for independence. In 2017, Palau signed the United Nations Treaty on the Prohibition of Nuclear Weapons.
Palau is a member of the Nauru Agreement for the Management of Fisheries. The Philippines, a neighboring ally of Palau to the west has expressed its intent to back Palau if ever it wishes to join ASEAN.
In June 2009, Palau announced that it would accept up to seventeen Uyghurs who had previously been detained by the American military at Guantanamo Bay, with some American compensation for the cost of their upkeep. Only one of the Uyghurs initially agreed to resettlement, but by the end of October, six of the seventeen had been transferred to Palau. An aid agreement with the United States, finalized in January 2010, was reported to be unrelated to the Uyghur agreement.
| Kayangel | 1.7 | 54 | 41 | Comprises the islands of Kayangel Atoll |
| Ngarchelong | 11.2 | 316 | 384 | At the northern end of Babeldaob Island |
| Ngaraard | 34 | 413 | 396 | At the northern end of Babeldaob Island, just south of Ngarchelong State |
| Ngardmau | 34 | 185 | 238 | On the western side of Babeldaob Island |
| Ngaremlengui | 68 | 350 | 349 | On the western side of Babeldaob Island |
| Ngatpang | 33 | 282 | 289 | On the western side of Babeldaob Island |
| Ngiwal | 17 | 282 | 312 | On the eastern side of Babeldaob Island |
| Melekeok | 26 | 277 | 318 | On the eastern side of Babeldaob Island |
| Ngchesar | 43 | 291 | 319 | On the eastern side of Babeldaob Island |
| Aimeliik | 44 | 334 | 363 | In the southwestern part of Babeldaob Island |
| Airai | 59 | 2,455 | 2,529 | In the southeastern part of Babeldaob Island |
| Koror | 60.52 | 11,444 | 11,199 | Comprises Koror, Ngerekebesang, and , plus the Rock Islands (Chelbacheb) and Eil Malk to the southwest |
| Peleliu | 22.3 | 484 | 470 | Comprises Peleliu Island and some islets to its north, notably Ngercheu |
| Angaur | 8.06 | 119 | 114 | Angaur Island, 12 km south of Peleliu |
| Sonsorol | 3.1 | 40 | 53 | Comprises Sonsorol, Fana Island, Pulo Anna, and Merir Islands |
| Hatohobei | 0.9 | 25 | 39 | Comprises Tobi Island and (uninhabited) Helen Reef |
Historically, Palau's Rock Islands have been part of the State of Koror.
Palau is hugely reliant on international aid, as demonstrated by President Surangel Whipps Jr address to the UN General Assembly in 2021. American influence has led some to contest that there are challenges to its sovereignty with its reliance on the American military under the Compact of Free Association, although not officially designated a de facto protectorate or otherwise. American influence has resulted in huge changes to Palau's society, economy, and political processes, and as such Palau may not yet be seen as a fully independent state or a fully realized success of modern state-building.
As with other Pacific island states, sea-level rise presents a major environmental threat. However, according to the Emissions Database for Global Atmospheric Research average carbon dioxide emissions per person were 60 tonnes in 2019, the highest in the world, and mostly from transport. Inundation of low-lying areas threatens coastal vegetation, agriculture, and an already insufficient water supply. Wastewater treatment is a problem, along with the handling of toxic waste from and .
One species of saltwater crocodile, Crocodylus porosus, is indigenous to Palau, occurring in varying numbers throughout the and in parts of the Rock Islands. Although this species is generally considered extremely dangerous, there has only been one fatal human attack, on 28 December 1965, in Palau in modern history. This attack led to a crocodile eradication program and trade in crocodile hides that ran into the 1980s. A management and conservation program running since the 1990s has led to a stabilization of the Palauan crocodile population.
On 5 November 2005, President Tommy E. Remengesau Jr. took the lead on a regional environmental initiative called the Micronesia Challenge, which would conserve 30% of near-shore coastal waters and 20% of forest by 2020. Following Palau, the initiative was joined by the Federated States of Micronesia, the Marshall Islands, and the US territories of Guam and Northern Mariana Islands. Together, this combined region represents nearly 5% of the marine area of the Pacific Ocean and 7% of its coastline.
Palau contains the Palau tropical moist forests terrestrial ecoregion. It had a 2019 Forest Landscape Integrity Index mean score of 8.09/10, ranking it 27th globally out of 172 countries. The country is vulnerable to earthquakes, volcano, and tropical cyclone.
Although Palau's ship registry represents less than 0.001% of the world fleet of commercial ships, it contains almost 60% of last-voyage flags in 2019. It suggests that the registry is used by shipping companies to evade end-of-life responsibilities. These responsibilities entail the decommissioning of a ship in such a way that the environmental impact and labor conditions are in order.
The population enjoys a per capita income twice that of Micronesia as a whole. Long-term prospects for the key tourist sector have been greatly bolstered by the expansion of air travel in the Pacific Rim, the rising prosperity of leading East Asian countries and the willingness of foreigners to finance infrastructure development.
In November 2006, Pacific Saving Bank officially announced bankruptcy. On 13 December 2006, the Palau Horizon reported that 641 deposit account had been affected. Among them, 398 held less than US$5,000, with the remainder ranging from US$5,000 to US$2 million. On 12 December, 79 affected people received compensation. Toribiong said, "The fund for the payout came from the balance of the Palau government's loan from Taiwan." From a total of US$1 million, which originally was for assisting Palau's development, US$955,000 was left at the time of bankruptcy. Toribiong requested the Taiwanese government use the balance to repay its loans. Taiwan agreed to the request. The compensation would include those who held less than US$4,000 in an account.
The income tax has three brackets with progressive tax rates of 9.3 percent, 15 percent, and 19.6 percent respectively. Corporate tax is four percent, and the Palau Goods and Services Tax was introduced on 1 January 2023. It is a broad-based tax of 10%, applied to most goods and services and other items sold or consumed in Palau. There are no .
Major tourist draws in Palau include Rock Islands Southern Lagoon, a UNESCO World Heritage Site, and four tentative UNESCO sites, namely, Ouballang ra Ngebedech (Ngebedech Terraces), Imeong Conservation Area, Yapease Quarry Sites, and Tet el Bad (Stone Coffin).
In May 2024, Nauru Airlines started direct weekly flights to Brisbane, Australia. The six-hour flight operated by B-737 aircraft depart Brisbane on Tuesdays at 23:30, arriving at Palau International Airport on the main island of Babeldaob at 04:30. Southbound flights will depart Palau on Wednesdays at 10:30, arriving in Brisbane at 05:30.
Freight, military, and cruise ships often call at Malaehaka Harbor, on Malakal Island outside Koror. The country has no railways, and of the of highways, only are paved. Driving is on the right, and the speed limit is . Taxis are available in Koror. They are not metered, and fares are negotiable. Transportation between islands mostly relies on private boats and domestic air services. However, there are some state-run boats between islands as a cheaper alternative.
The German and Japanese occupations of Palau both subsidized missionaries to follow the Spanish. Germans sent Roman Catholics and Protestants, the Japanese sent Shinto and Buddhist, and the Spaniards sent Roman Catholic missionaries as they controlled Palau. Three-quarters of the population are Christians (mainly Roman Catholics and Protestants), while Modekngei (a combination of Christianity, traditional Palauan religion and fortune telling) and the ancient Palauan religion are commonly observed. Japanese rule brought Mahayana Buddhism and Shinto to Palau, which was the majority religion among Japanese settlers. However, following Japan's World War II defeat, the remaining Japanese largely converted to Christianity, while some continued to observe Buddhism but stopped practicing Shinto rites.Brigham Young University—Hawaii Campus (1981), p. 36 There are approximately 400 Bengalis Muslims.
The cuisine includes local foods such as cassava, taro, yam, potato, fish and pork. It is also heavily influenced by Japanese, American, and Filipino cuisine, because of the significant presence of Filipino migrant workers. Megabat soup is a Palauan delicacy. Some local drinks include an alcoholic drink made from a coconut on the tree; a drink made from the roots of the kava; and the chewing of Areca nut. A dessert called tama was developed in Palau.
The Belau Omal Marathon began in 2023 as a partnership between Palau and Taiwan.
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