O. Box 6028, Republic of Palau 96940
telephone: [680] 488-2920, 2990
FAX: [680] 488-2911

Flag description: light blue with a large yellow disk (representing
the moon) shifted slightly to the hoist side

@Palau:Economy

Economy-overview: The economy consists primarily of subsistence
agriculture and fishing. The government is the major employer of the
work force, relying heavily on financial assistance from the US. The
population enjoys a per capita income of more than twice that of the
Philippines and much of Micronesia. Long-run prospects for the tourist
sector have been greatly bolstered by the expansion of air travel in
the Pacific and the rising prosperity of leading East Asian countries.

GDP: purchasing power parity-$160 million (1997 est.)
note: GDP numbers reflect US spending

GDP-real growth rate: 10% (1997 est.)

GDP-per capita: purchasing power parity-$8,800 (1997 est.)

GDP-composition by sector:
agriculture: NA%
industry: NA%
services: NA%

Inflation rate-consumer price index: NA%

Labor force: NA
by occupation: NA

Unemployment rate: 7%

Budget:
revenues: $52.9 million
expenditures: $59.9 million, including capital expenditures of $NA
(1997 est.)

Industries: tourism, craft items (from shell, wood, pearls), some
commercial fishing and agriculture

Industrial production growth rate: NA%

Electricity-capacity: 62,000 kW (1995)

Electricity-production: 195 million kWh (1995)

Electricity-consumption per capita: 11,704 kWh (1995)

Agriculture-products: coconuts, copra, cassava (tapioca), sweet
potatoes

Exports:
total value: $14.3 million (f.o.b., 1996)
commodities: trochus (type of shellfish), tuna, copra, handicrafts
partners: US, Japan

Imports:
total value: $72.4 million (f.o.b., 1996)
commodities: NA
partners: US

Debt-external: about $100 million (1989)

Economic aid:
recipient: ODA, $NA
note: the Compact of Free Association with the US, entered into after
the end of the UN trusteeship on 1 October 1994, will provide Palau
with up to $700 million in US aid over 15 years in return for
furnishing military facilities

Currency: 1 United States dollar (US$) = 100 cents

Exchange rates: US currency is used

Fiscal year: 1 October-30 September

Communications

Telephones: 1,500 (1988 est.)

Telephone system:
domestic: NA
international: satellite earth station-1 Intelsat (Pacific Ocean)

Radio broadcast stations: AM 1, FM 1, shortwave 0

Radios: 9,000 (1993 e