Asian Development Bank (ADB) President Masato Kanda recently hosted Palau President Surangel S. Whipps Jr. during a groundbreaking meeting at the bank’s headquarters in Manila, marking the first official visit from a Palauan head of state. This milestone underscores ADB’s deepening commitment to supporting small island developing states (SIDS), with Kanda emphasizing Palau’s strategic significance in these initiatives.
“Palau is a key partner and its commitment to reform is exemplary,” Kanda acknowledged, highlighting the historic nature of the visit. This meeting signals ADB’s dedication to aligning its support with Palau’s national objectives, promising continuous assistance to help realize the nation’s priorities.
Whipps’s visit is particularly timely as ADB enhances its engagement in the North Pacific, which encompasses the Marshall Islands, the Federated States of Micronesia, and Palau. In recognition of the unique needs of this subregion, ADB is strengthening the capabilities of the Pacific Department’s North Pacific Team and exploring strategies to increase its local presence.
During their discussions, Kanda lauded Palau’s robust macroeconomic performance and praised the government’s achievements in tax reforms and debt management. He also acknowledged the progress in pension and social security reforms, expressing ADB’s readiness to support their effective implementation.
Looking ahead, ADB has allocated approximately $94 million in concessional loans for Palau from 2026 to 2028. This funding is closely aligned with Palau’s 2023–2026 Development Plan and the 2021–2030 National Infrastructure Investment Plan, focusing on critical areas such as energy transition, public sector reforms, public financial management, and human capital development.
Founded in 1966, ADB serves as a vital multilateral development bank committed to fostering inclusive, resilient, and sustainable growth across Asia and the Pacific. Through partnerships with its member nations and stakeholders, ADB utilizes innovative financial strategies and cooperative initiatives to address complex challenges, improve infrastructure, and promote environmental stewardship. The collaboration between ADB and Palau exemplifies a shared vision for sustainable development in the Pacific region, paving the way for a brighter and more prosperous future.