IMF Staff Country Reports

Republic of Palau: 2025 Article IV Consultation-Press Release; Staff Report; and Statement by the Executive Director for the Republic of Palau

January 30, 2026

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Format: Chicago

International Monetary Fund. Asia and Pacific Dept "Republic of Palau: 2025 Article IV Consultation-Press Release; Staff Report; and Statement by the Executive Director for the Republic of Palau", IMF Staff Country Reports 2026, 022 (2026), accessed 2/1/2026, https://doi.org/10.5089/9798229037600.002

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Summary

Recovery is underway with improving fiscal balance, declining debt, and well-contained inflation, though FY2024 real GDP remained below pre-pandemic levels and the debt level is still high. The 2023 Compact Review Agreement (CRA-23) and a successful tax reform have provided Palau with additional fiscal space to navigate long-term challenges, including adverse demographic shifts and climate vulnerability.

Subject: Economic sectors, Financial sector policy and analysis, Financial sector stability, Public debt, Public sector, Tourism

Keywords: Financial sector stability, Public sector, Tourism