A tiny pacific archipelago consisting of 340 islands is set to head to the polls on November 5th, the same day as the US election, as it makes a decision between closer ties with the US or China.
The minuscule country of Palau is surrounded by tropical lagoons and boasts a large US Military runway, recently rebuilt to enable ongoing US military actions in the area.
The nation of 18,000 people, is one of only 12 worldwide to have diplomatic ties with Taiwan and not China – but such a stance might not remain in force for too long depending on the outcome of next week’s election.
The island’s presidential election is widely seen as a mini-referendum on closer ties with Washington or Beijing, with voters vastly concerned about the impact of a weak economy and the cost of living crisis and likely to vote for a closer relationship with the superpower it believes is most likely to alleviate this concerns.
The battle sees two brothers-in-law go head-to-head at the ballot box as President Surangel Whipps Jr takes on former president Tommy Esang Remengesau Jr.
The incumbent is a staunch US advocate and has called publicly for stronger security ties with Washington too see off the threat of China’s widening influence in the area.
Remengesau, on the other hand, is well-known to be open to closer links with China as he looks to continue his environmental work to wade off the threat of climate change to the island as well as to bolster the nation’s economy.
The two family members have said that it is “unfortunate” that they are going against one another in such a way.
The president says a 10 percent goods and services tax is useful to the island’s economy, but his critics have hit out at the levy for worsening the financial burden on Palau’s low-income households.
The country’s only female senator, Rukebai Kikuo Inabo, said: “The problem with our economy is we have only one source of revenue, and that is the tourism industry.
“China was our main tourism market prior to Covid when we reached like 100,000 visitors, but because of the Pacific politics, they have used tourism as an economic tool to try and change our foreign affairs.
In 2017, the Chinese government ordered travel companies to stop selling travel packages to the island and has more recently been accused of being responsible for a cyber attack.
