History: An archipelago in the Western Pacific, Palau consists of 26 islands and over 300 islets. In 1914 Japan occupied the islands, which became part of the UN Trust Territory of the Pacific Islands created in 1947, and administered by the USA. Proclaimed an autonomous republic in 1981, a freely associated state in 1992, and an independent republic on October 1, 1994. A self-governing state, Palau became the 185th UN member on 15 December 1994. A new capial is being built in eastern Babelthuap.

Chief Crops: Coconuts, cassava, sweet potatoes.

Natural Resources: Fisheries, mainly tuna.

Tourism: Tourism is a major industry. About 40,000 visistors a year. About 6000 Paluans live abroad.