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Country Profile: Palau

Palau is an island nation located in the North Pacific Ocean, southeast of the Philippines. It is composed of over 300 islands and has a diverse population comprising primarily Palauans, with influences from various Asian cultures. The economy of Palau relies heavily on tourism, fishing, and agriculture, bolstered by U.S. aid and access to American programs through a Compact of Free Association. Governed as a presidential republic, Palau emphasizes environmental protection and sustainability, positioning itself as a leader in climate change advocacy.

Geography

Palau is situated in Oceania, featuring a tropical climate that is hot and humid, with a wet season from May to November. The country consists of a diverse landscape, from the mountainous main island of Babelthuap to low-lying coral islands. The total land area covers approximately 459 square kilometers, with a coastline extending 1,519 kilometers.

  • 459 sq km: Total land area of Palau.
  • 1,519 km: Total coastline length.
  • 24 nm: Contiguous zone claims.
  • 200 nm: Exclusive economic zone.
  • 90.6%: Forest cover of the total land area (2023).
  • 4.3%: Permanent crops utilized in agriculture (2023).
  • Typhoons: Natural hazards prevalent June to December.

People and Society

As of 2024, Palau's population is estimated at 21,864, with a life expectancy of 75.2 years. The society is predominantly Palauan (70.6%), with English and Palauan as the official languages. The nation exhibits a high literacy rate of 100%, and approximately 82.4% of the population resides in urban areas.

  • 21,864: Estimated total population (2024).
  • 75.2 years: Life expectancy at birth (2024).
  • 100%: Literacy rate (2020).
  • 11.6 births/1,000: Birth rate (2024).
  • 40.3%: Total dependency ratio (2024).
  • 1.06 male(s)/female: Sex ratio for the total population (2024).
  • 17.5%: Percentage of the population aged 0-14 years (2024).

Economy

Palau has a high-income economy characterized by environmental fragility and dependence on U.S. aid. The primary sectors include tourism, fishing, and subsistence agriculture, with GDP per capita estimated at $15,800 in 2023. Following the pandemic, the tourism sector is rebounding, contributing significantly to the overall economic landscape.

  • $280.025 million: Real GDP (PPP) estimated for 2023.
  • 1.9%: Real GDP growth rate (2023).
  • 76.7%: Services sector contribution to GDP (2023).
  • 3%: Agriculture's contribution to GDP (2023).
  • $216.681 million: Total imports (2022).
  • $24.48 million: Total exports (2022).
  • 0.7%: Remittances as a share of GDP (2023).

Government

Palau operates as a presidential republic in free association with the United States. Established under its constitution in 1981, the government comprises an executive branch led by the President, a bicameral legislature, and an independent judicial system. National Congress sessions address legislative matters, and the country values its independence, celebrated on October 1.

  • Surangel WHIPPS, Jr.: Current President since January 21, 2021.
  • 16: Total number of states.
  • 18 years: Minimum voting age with universal suffrage.
  • 9 July: National Constitution Day.
  • 1 October: Independence Day, marking the end of U.S. trusteeship in 1994.
  • 15: Total Senate seats, all directly elected.
  • 16: Total House of Delegates seats, all directly elected.

Military and Security

Palau does not maintain a regular military force; instead, its security is provided by the United States under the Compact of Free Association. The Bureau of Public Safety handles law enforcement and maritime security duties, allowing for collaboration with U.S. military services to protect local resources.

  • 0: Regular military forces.
  • Shiprider agreement: Enables joint maritime law enforcement with U.S. Coast Guard.
  • Bureau of Public Safety: Responsible for police functions.
  • U.S. defense responsibilities: As per the Compact of Free Association.

Energy

Palau boasts full electricity access for its population, achieving 100% electrification as of 2022.

  • 100%: Total population with electricity access (2022).
  • 99.9%: Electrification rate in urban areas.
  • 100%: Electrification rate in rural areas.

Transportation

Palau's transportation infrastructure includes three airports and a small merchant marine fleet. The primary port, Malakal Harbor, serves as a crucial point for maritime logistics.

  • 3: Number of airports (2025).
  • 427: Total merchant marine vessels (2023).
  • 1: Key port with an oil terminal.

Communications

The communication landscape features a high penetration of mobile subscriptions, with a total of 24,000 users. Internet access is growing, supported by a cable TV network providing basic media services.

  • 24,000: Mobile cellular subscriptions (2023).
  • 8,000: Fixed line subscriptions (2023).
  • 1,000: Fixed broadband subscriptions (2023).

Key Metrics

MetricValueNote
Population21,864Estimated for 2024
Area459 sq kmTotal land area
GDP (PPP)$280.025 millionEstimated for 2023
Life Expectancy75.2 yearsEstimated for 2024
Birth Rate11.6 births/1,000Estimated for 2024
Unemployment RateLowHigh living standard
Electricity Access100%Total population (2022)