Compact Review Agreement
The U.S. government and Palau signed the agreement in 2010, which provides for the continuation of U.S. financial assistance totalling $229 million until 2024. At the time, full funding of the pact was not authorized. Beginning in fiscal year 2010, subsequent laws on internal and discretionary allocations expanded annual economic assistance to Palau to approximately $13.1 million per year, for a total of $105.2 million in discretionary funds. These funds are intended to assist the Government of Palau in its efforts to promote the well-being of its people and by recognizing the special relationship that exists between the United States and Palau. „After many years of waiting, the United States and Palau can finally celebrate the completion of the first review and amendment process, as requested by the Compact of Free Association,“ said Doug Domenech, Assistant Secretary, Insular and International Affairs. „We recognize the hard work and efforts of officials from the Ministries of Defense, State, and Interior, including staff of relevant congressional committees in the work on this process. The United States looks forward to many years of collaboration with Palau and is proud of the relationship we share. „I am very pleased that our governments have concluded the exchange of diplomatic notes to sign and implement the agreement,“ said Minister Zinke. „This is a historic day that responds to the United States` ongoing and enduring commitment to Palau, an important partner in the government`s Indo-Pacific strategy.
I welcome the significant progress made by Palau in the development of its economy and will continue to look for ways to support your efforts to bring prosperity to the Palau people,“ Zinke concluded. The US did not want Palaus compact to happen again in 2010, when it took eight years to adopt and approve the financial package. == Island territories are on the front lines of North Korean aggression and are an important part of strategic defense for our nation,“ said Minister Zinke. „Approval of full funding for the agreement is an important part of the Pacific National Security Strategy to maintain stability in the Western Pacific region, and we look forward to continuing our work with Congress to complete this task. President Trump`s strong support for the deal, the department`s budget request, and congressional support underscore the strategic importance of our U.S. territories and freely associated states. I have served with a number of island warriors and look forward to visiting the people of Palau in my role as secretary. Oilouch said Palau wanted clarification on Secretary of State Mike Pompeo`s statement when he announced, during his visit to Pohnpei in July, that the United States wanted a start of compact control with the three freely associated states. .