Palau is the world’s third-least-populous UN member state, after Tuvalu and Nauru.
The Republic of Palau
PalauMicronesiaGeneral Information
Border Countries
Last Updated: July 2026Source: Internal Research
Key Facts
Palau was ruled successively by Spain, Germany, Japan and the United States before gaining independence in 1994.
In 1994, Palau gained complete independence and joined the United Nations the same year.
Palau is one of just 21 countries not to have an army.
One of Palau’s most famous landmarks, and the country’s only UNESCO World Heritage Site, is the Rock Islands.
The world’s first shark sanctuary was created in Palau in 2009.
Palau has one of the world’s highest obesity rates, with about 85% of Palauan adults overweight or obese.
Palau is known as the “Underwater Serengeti” for its incredible scuba diving.
Palau has a simple flag composed of a blue background with an off-center golden disk. The disk represents the moon, which has special meaning in Palauan culture.
In 2017, Palau became the world’s first country to require tourists to sign the Palau Pledge.
Ngerulmud is one of the smallest capital cities in the world, known for its unique architecture and peaceful ambiance.
Palau’s Jellyfish Lake is home to millions of harmless jellyfish, offering visitors an unforgettable swimming experience.
Last Updated: July 2026Source: Internal Research
Economic Overview
Macroeconomic Snapshot
Economic Comparison
| Indicator | PalauUAE | ||
|---|---|---|---|
| GDP, current pricesUSD Billions | - | - | |
| GDP, PPPCurrent int$ | - | - | |
| Real GDP growthAnnual percent change (%) | - | - | |
| GDP per capita, current pricesUSD per capita | - | - | |
| PopulationMillions of people | - | - | |
| Unemployment rate% of total labor force | - | - | |
| Inflation rate (avg. consumer prices)Annual percent change (%) | - | - | |
| General government gross debt% of GDP | - | - | |
| Income levelWorld Bank classification | - | - |
Foreign Trade
No data available for this section yet.
Political Overview
Leadership
H.E. Surangel S. Whipps Jr.
Since January 2021
H.E. Gustav Aitaro
Since September 2021
H.E. Kaleb Udui Jr.
Since February 2021
Political Summary
Political System
A presidential republic in free association with the United States (Compact of Free Association). It is a non-partisan system with no political parties; a Council of Chiefs advises the President on traditional law and custom.
Ruling Party
Main Opposition Force(s)
Next Presidential Election
Next Legislative Election
Last Updated: May 2026Source: Internal Research
Membership in Key Organizations and Blocs
No organisation matches.
Last Updated: July 2026Source: Official websites of the respective organizations
Competitiveness Indexes
| Index | Year | Rank Out of | Palau | UAE |
|---|
No index matches.
Diplomatic Relations and Representation
Last Updated: June 2026Source: MoFA; Internal Research
Flights by UAE Carriers
Passenger Flights
October 2026 figuresCargo Flights
October 2026 figuresLast Updated: October 2026Source: GCAA
Consular Information
Tourists | Residents | Students | Golden Visa Holders | |
|---|---|---|---|---|
Palau Nationalsin the UAE | - | - | - | - |
UAE Citizensin Palau | - | - | - | - |
Main Agreements and MoUs
| Agreement / MOU | Status | Notes |
|---|---|---|
CEPAComprehensive Economic Partnership Agreement | - | - |
IPPAInvestment Protection and Promotion Agreement | - | - |
DTADouble Taxation Avoidance Agreement | - | - |
ASAAir Services Agreement | Signed | Signed on 31 Aug 2023 (initialed). |
Last Updated: April 2026Source: Internal Research
UAE Foreign Assistance
| UAE Aid to Palau | Total Amount |
|---|---|
| Amount (USD Mn) | - |
Bilateral Visits
Official Visits from the UAE
- -
Official Visits to the UAE
- H.E. Surangel S. Whipps Jr.President of PalauFeb2026
- H.E. Surangel S. Whipps Jr.President of PalauOct2025
- H.E. Surangel S. Whipps Jr.President of PalauOct2024
- H.E. Surangel S. Whipps Jr.President of PalauDec2023
- H.E. Gustav AitaroMinister of State of PalauAug2023
- H.E. Surangel S. Whipps Jr.President of PalauJan2023
The officials’ titles shown reflect the positions held at the time of the visit.
Last Updated: April 2026Source: Internal Research
Trade
Non-Oil Bilateral Trade
Rank Among UAE's Trade Partners
Key Trade Commodities
Foreign Direct Investment Flows
Source: fDi Markets
Major Companies and Investments
Major Palauan Companies in the UAE
- -
Major UAE Companies in Palau
MasdarRenewable energy
Last Updated: April 2026Source: Internal Research
Business Support
Cooperation Opportunities
Priority level: HIGH / MEDIUM / EMERGING, based on overall attractiveness to the UAE.
Last Updated: October 2026Source: Internal Research