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Palau agrees to take migrants from US under $7.5m deal

Published on: December 26, 2025 10:37 AM

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The Pacific island nation of Palau has agreed to accept up to 75 non-American migrants from the United States under a bilateral agreement that includes $7.5 million in US financial support, officials from both countries said on Wednesday. The deal comes as Washington steps up deportations under President Donald Trump’s renewed push to curb undocumented migration.

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Under a memorandum of understanding, Palau will allow up to 75 third-country nationals currently in the United States to live and work in the archipelago. In return, the United States will provide $7.5m to Palau to support public services and infrastructure projects.

Palau, which has a population of about 20,000 people scattered across hundreds of volcanic islands and coral atolls, is among the smallest countries in the world by population. Officials said the migrants would help address labour shortages in the island nation.

Palau will accept up to 75 third-country nationals (migrants facing U.S. deportation) under a new memorandum, in exchange for $7.5 million in U.S. aid to support public services and infrastructure.

Only individuals with no known criminal histories will be sent on a case-by-case… pic.twitter.com/VqakuyrQvP

— ConsciousInk (@ink_conscious) December 25, 2025

Both governments stressed that the migrants have not been charged with crimes. Palau said it would retain the right to approve arrivals on a case-by-case basis, ensuring that each individual meets the country’s requirements before being admitted.

“Palau would have to agree on a case-by-case basis as to individuals who will be arriving in Palau under the arrangement,” the government said in a statement, underlining that the agreement does not provide for automatic acceptance.

The deal was announced following a call between Palau President Surangel Whipps Jr and US Deputy Secretary of State Christopher Landau. It reflects the close diplomatic and security ties between the two countries, which are linked through a longstanding Compact of Free Association.

In a statement, the US State Department said the agreement demonstrated a shared commitment to regional stability. “Through this partnership, the United States and Palau are taking concrete steps to strengthen our security and protect our communities, while also fostering a safer, more secure and more prosperous Indo-Pacific region,” it said.

Read More: China pushes climate action as US steps back

The arrangement highlights Washington’s broader efforts to find alternative destinations for migrants as it tightens immigration enforcement at home, while offering economic incentives to small partner nations willing to cooperate.

Filed Under: Top Stories, World Tagged With: deportations, Foreign Policy, Indo-Pacific, Latest, migration, Palau, United States

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