Factbook dossier
Background
Humans arrived in the Palauan archipelago from Southeast Asia around 1000 B.C. and developed a complex, highly organized matrilineal society where high-ranking women picked the chiefs. The islands were the westernmost part of the widely scattered Pacific islands north of New Guinea that Spanish explorers named the Caroline Islands in the 17th century. The 18th and 19th centuries saw occasional visits of whalers and traders as Spain gained some influence in the islands and administered it from the Philippines. Spain sold Palau to Germany in 1899 after losing the Philippines in the Spanish-American War. Japan seized Palau in 1914, was granted a League of Nations mandate to administer the islands in 1920, and made Koror the capital of its South Seas Mandate in 1922. By the outbreak of World War II, there were four times as many Japanese living in Koror as Palauans. In 1944, the US invasion of the island of Peleliu was one of the bloodiest island fights of the Pacific War. After the war, Palau became part of the US-administered Trust Territory of the Pacific Islands. Palau voted against joining the Federated States of Micronesia in 1978 and adopted its own constitution in 1981, which stated that Palau was a nuclear-free country. In 1982, Palau signed a Compact of Free Association (COFA) with the US, which granted Palau financial assistance and access to many US domestic programs in exchange for exclusive US military access and defense responsibilities. However, many Palauans saw the COFA as incompatible with the Palauan Constitution because of the US military s nuclear arsenal,…
Location
Oceania, group of islands in the North Pacific Ocean, southeast of the Philippines
Area
total : 459 sq km land: 459 sq km water: 0 sq km
Natural resources
forests, minerals (especially gold), marine products, deep-seabed minerals
Natural hazards
typhoons (June to December)
Population
total: 21,947 (2025 est.) male: 11,257 female: 10,690
Ethnic groups
Palauan (Micronesian with Malayan and Melanesian admixtures) 70.6%, Carolinian 1.2%, Asian 26.5%, other 1.7% (2020 est.)
Languages
Palauan (official on most islands) 65.2%, other Micronesian 1.9%, English (official) 19.1%, Filipino 9.9%, Chinese 1.2%, other 2.8% (2015 est.) note: Sonsoralese is official in Sonsoral; Tobian is official in Tobi; Angaur and Japanese are official in Angaur
Religions
Roman Catholic 46.9%, Protestant 30.9% (Evangelical 24.6%, Seventh Day Adventist 5%, other Protestant 1.4%), Modekngei 5.1% (indigenous to Palau), Muslim 4.9%, other 12.3% (2020 est.)
Environmental issues
inadequate facilities for disposal of solid waste; threats to the marine ecosystem from sand and coral dredging, illegal fishing practices, and overfishing; rising sea level; coral bleaching; drought
Government type
presidential republic in free association with the US
Capital
name: Ngerulmud geographic coordinates: 7 30 N, 134 37 E time difference: UTC+9 (14 hours ahead of Washington, DC, during Standard Time) etymology: the name comes from a Palauan term meaning "place of fermented angelfish;" the site of the capital was the traditional location for women to gather and offer fermented angelfish to the gods
Executive branch
chief of state: President Surangel WHIPPS, Jr. (since 21 January 2021) head of government: President Surangel WHIPPS, Jr. (since 21 January 2021) cabinet: Cabinet appointed by the president with the advice and consent of the Senate; also includes the vice president; the Council of Chiefs consists of chiefs from each of the states who advise the president on issues concerning traditional laws, customs, and their relationship to the constitution and laws election/appointment process: president and vice president directly elected on separate ballots by absolute-majority popular vote in 2 rounds, if needed, for a 4-year term (eligible for a second term) most recent election date: 5 November 2024 election results: 2024: Surangel WHIPPS, Jr. elected president in second round; percent of vote - Surangel WHIPPS, Jr. (independent) 57.7%, Tommy REMENGESAU (independent) 42.1%, other 0.2% 2020: Surangel WHIPPS, Jr. elected president in second round; percent of vote - Surangel WHIPPS, Jr. (independent) 56.7%, Raynold OILUCH (independent) 43.3% expected date of next election: November 2028 note: the president is both chief of state and head of government
Legislative branch
legislature name: National Congress (Olbiil Era Kelulau) legislative structure: bicameral
Real GDP (purchasing power parity)
$280.025 million (2023 est.) $274.866 million (2022 est.) $278.538 million (2021 est.) note: data in 2021 dollars
Real GDP per capita
$15,800 (2023 est.) $15,500 (2022 est.) $15,700 (2021 est.) note: data in 2021 dollars
Inflation rate (consumer prices)
2.2% (2024 est.) 12.8% (2023 est.) 12.4% (2022 est.) note: annual % change based on consumer prices
Exports - partners
India 41%, Turkey 26%, Taiwan 10%, USA 9%, Japan 5% (2023) note: top five export partners based on percentage share of exports
Imports - partners
Italy 32%, China 25%, USA 11%, Turkey 10%, Japan 6% (2023) note: top five import partners based on percentage share of imports
Military and security forces
no regular military forces; the Bureau of Public Safety (Ministry of Justice) has divisions for police functions and maritime security (2025)