|RConstitution:|N Constitutional republic under US trusteeship. Foreign affairs and defense are managed by the USA.
|RNational holiday:|N Constitution Day, July 9.
|RNature and climate:|N 26 larger islands and more than 300 islets in a 650 km long chain in western Pacific Ocean. 8 of the islands are permanently inhabited.
Average temperature all the year 27°C.
Percipitation 3800 mm.
|RPeople:|N Composite of Polynesian, Malayan and Micronesian.
|REconomy:|N The main industries are tourism and crafts of shell, wood and pearls.
The natural resources are forests, minerals, mainly gold, and marine products, fish and pearls.
|RHistory:|N About 1500 BC the first inhabitants arrived from Indonesia and the Philippines. Ferdinand Magellan was the first European visitor, but the British dominated trade with the islands until 1885 when Spanish sovereignty was recognised.
In 1899 the archipelago was sold to Germany. The Germans, by sanitary measures, stopped the epidemics of dysentry and influenza that in 120 years had reduced the population from 40 000 to 4 000.
In 1914 the islands were occupied by Japan, that increased mining, agriculture and fishing. In World war II it became the place of heavy battles and after the war it became a UN trusteeship administrated by the USA.
Since 1980 Palau have its own constitution and government, but the inhabitants did not approve a Compact of Free Association with the USA, so the islands remain under trusteeship.
A Council of Chiefs advises the president on matters of traditional law and customs.