Koshiba told reporters that he will formally send an official communication to Alcy Frelick, United States Compact Advisory Group chair of the intent to hold the signing ceremony here.
Koshiba with his team arrived Saturday night from Hawaii after finalizing the agreement.
Palau accepted the $250 million Compact of Free Association funding package offered by the U.S.
The next hurdle is to get the aid package approved by U.S. Congress.
President Johnson Toribiong is expected to go to Washington D.C. after the signing to lobby for its passage.
The Compact envoy said the year-long review was successful due to members of the group who were instrumental in the negotiations and were part of the first Compact review.
“These key people work very hard,” Koshiba said.
The $250 million packageincludes subsidy for the U.S. Postal Service, the funding provided to Palau in the Fiscal Year 2010 and resources earmarked for annual contributions to the infrastructure as maintenance matching fund.
The package includes the $22 million postal service for Palau, Republic of the Marshall Islands and Federated States of Micronesia. From the funding, Palau will only be left with $4 million while $18 million will go to the two Freely Associated States.
The package also includes the FY2010 funding which was previously granted amounting to about $13 million.
The maintenance fund amounts to $2 million annually. The amount will be $30 million covering 2010 to 2024.Excluding the other assistance, Palau will be left with a direct financial assistance of $ 13.5 million yearly.
Palau will have another opportunity to review the Compact after year 2024.
Koshiba said that Palau is confident that at the time the Compact funds will have performed well enough to sustain Palau’s economy.
