Republic of Palau: 2023 Article IV Consultation-Press Release; Staff Report; and Statement by the Executive Director for Republic of Palau

Republic of Palau: 2023 Article IV Consultation-Press Release; Staff Report; and Statement by the Executive Director for Republic of Palau
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Volume/Issue: Volume 2023 Issue 430
Publication date: December 2023
ISBN: 9798400260827
$20.00
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Topics covered in this book

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Economics- Macroeconomics , Money and Monetary Policy , Public Finance , Business and Economics - Statistics , International - Economics , Industries - Hospitality Travel and Tourism , Environmental Economics , macroeconomic prospect , foreign reserve asset , GDP estimate , money market rate , COFA renewal , policy option , graduate school USA , Tourism , Fiscal stance , Climate change , Global , Pacific Islands , East Asia

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Summary

Palau has emerged from the pandemic with significant output loss, elevated public debt and historically high inflation. Adverse demographic trends, high dependence on tourism and external support, and vulnerability to climate change risks raise vulnerabilities. The authorities successfully enacted a fiscal responsibility framework and modernized the tax system. A new Compact Review Agreement (CRA-23), with better financial terms, is awaiting approval by US Congress.

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