“As I stood before you one year ago, I told you that the state of our Republic was ‘precarious’, but that I was optimistic for the future of our country.I say to you today that during the last year, while the sea has been rough and stormy at times, the course of our nation has been steadied,” he said.
First Toribiong conveyed his gratitude to Palau’s ally countries — the United States, for providing political and financial support to the country; the Government of Japan, for all it has done for Palau over the years; the Republic of China-Taiwan which Palau just celebrated its 10th anniversary diplomatic relations with; and the Philippines, for helping Palau on issues of health, education, and human resources.
He then cited his government’s successful renewal of its Compact of Free Association economic assistance from the US for another 15 years. “The details of the specific allocation of the $250 Million proposal are still under discussion as I speak,” he said in his speech. “The process of the Compact Review, I am proud to report, has been successful beyond our original expectation.”
Toribiong said that last year Palau was also faced with the problem of the global economic slowdown.When he took office the Compact Trust Fund had lost over $60 Million of its value due to the global recession. “As Wall Street suffered, so did the Republic of Palau.At one point the Compact Trust Fund had been valued at almost $170 Million, but was worth less than $110 Million after I took office in January of last year; a decline of over 35%,” he explained.
He was happy to report, however, that in the last twelve months the world’s economy had started to recover, and so has Palau’s Trust Fund. “As of the end of March of this year, the Compact Trust Fund had increased in value to $151 Million and continues to grow.”
The President reiterated that the Trust Fund alone is not enough to fund the country’s operating requirements and becoming economic self-sufficient. But at least the $250 million package that it has agreed to with the United States will allow the Trust Fund to heal itself to a level that will sustain us into the future. Hence it is necessary, he said, that the country must take every action necessary to promote development towards economic self-sufficiency.
Among the president’s administration’s accomplishments, he said in his speech, was putting together a task force to study the problems at the Palau Public Utilities Corporation.
Another was the declaration of Palau as a shark sanctuary. “This was done in recognition of the simple fact that the marine environment that surrounds us is our greatest asset and is the principal reason tourists come to Palau.”
He has also instituted and led a Pacific-wide initiative, the Organization of Tuna Exporting Countries, to initiate a process to maximize the income Palau receives from the fishing that takes place in our waters.
His administration has also recently undertaken an initiative to secure an underwater fiber-optic cable to link Palau with the rest of the world.He said he is committed to bring broadband Internet connectivity to Palau as soon as possible.
On the controversial subject of oil and gas exploration, he said his administration has prioritized the issue and will follow through to see that exploration takes place in the near future. “If nothing is discovered, so be it.But we need to find out if a resource is there and if so, we need to develop and exploit it in a responsible manner to provide for our future generations of Palauans,” he said.
He said he is also in the process of launching “green revolution” project to cultivate food crops to ensure food security for our people and promote local agricultural industry.
On public health, his administration is undertaking measures to promote a healthy lifestyle to eliminate the burden of chronic illnesses.
The president was also happy to report that although the country’s local revenues are still lagging, the National Government has used the current revenues to lessen all the old debts that his Administration inherited.“While this process has left us with new debts, these debts are current and I am now in the process of retiring these new debts using current revenues.”
He promised to bring the National Government current before he leaves office. “I am committed to leaving a legacy where payments for all our government’s obligations are current,” he said.
In light of the help that it has extended to the Uyghurs, President said, “Palau is no longer just a diving destination, Palau has become, in the view of some, an active participant in the international community,” he shared.
While his decision to allow several of the Uyghurs to resettle in Palau was controversial, the president said the offer was in conformity with Palauan’s age old cultural tradition of accommodating and helping people in need and also a recognition of the country’s long standing relationship with the United States. “It gave us an opportunity to return a favor to the United States who has done so much for Palau thereby further strengthening our relationship with the United States.”
Palau’s local economy is also starting to grow again because of tourism.But the boost in tourism is not conclusive evidence that Palau is on the road to full recovery. “Our estimated revenue for Fiscal Year 2010 is $35,042,000,” he said. As of the end of the second quarter they have collected the sum of $17,494,289. “Simply put, economic activity in Palau is still less than what it was and, in light of our growing population, less than what it will need to be in the future in order to sustain us. Our collections for 2009 and 2010 were increased as a result of the amnesty program that my administration initiated.”
He added that unless Palau takes action soon to encourage foreign investment to the country and to create jobs in the private sector, “The foundation of our economy will fail us.We must send a strong message to potential investors that Palau welcomes and needs them.”
His greatest regret, the President said, was that the very first legislation he submitted to the Eighth Olbiil Era Kelulau for consideration was the “Foreign Investment Act of 2009”. “It still has not been passed into law,” he said.
However, Senator Surangel Whipps, Jr., in an interview said, “The president has the wrong impression that we are against the Foreign Investment Act, or the Uyghurs and the Oil issues. That’s not the case. We just want to make sure that they’re done properly.”
Senator Whipps added that the speech of the President was what they have expected. “Of course we have differing opinions, but the good news is the economy is improving,” he said.
Normal 0 false false false EN-US X-NONE X-NONE MicrosoftInternetExplorer4
palau-sora4-27
Toribiong optimistic for Palau’s future
Cites achievements, appeals for cooperation
By Maripet L. Poso
For Variety
KOROR (Palau Horizon) – President Johnson Toribiong was optimistic that the country’s economy is starting to pick up, affirming his gratitude to its ally countries and highlighting his administration’s accomplishments, as he summed up the state of the republic during his 2010 Annual Progress Report before lawmakers yesterday.
“As I stood before you one year ago, I told you that the state of our Republic was ‘precarious’, but that I was optimistic for the future of our country.I say to you today that during the last year, while the sea has been rough and stormy at times, the course of our nation has been steadied,” he said.
First Toribiong conveyed his gratitude to Palau’s ally countries — the United States, for providing political and financial support to the country; the Government of Japan, for all it has done for Palau over the years; the Republic of China-Taiwan which Palau just celebrated its 10th anniversary diplomatic relations with; and the Philippines, for helping Palau on issues of health, education, and human resources.
He then cited his government’s successful renewal of its Compact of Free Association economic assistance from the US for another 15 years. “The details of the specific allocation of the $250 Million proposal are still under discussion as I speak,” he said in his speech. “The process of the Compact Review, I am proud to report, has been successful beyond our original expectation.”
Toribiong said that last year Palau was also faced with the problem of the global economic slowdown.When he took office the Compact Trust Fund had lost over $60 Million of its value due to the global recession. “As Wall Street suffered, so did the Republic of Palau.At one point the Compact Trust Fund had been valued at almost $170 Million, but was worth less than $110 Million after I took office in January of last year; a decline of over 35%,” he explained.
He was happy to report, however, that in the last twelve months the world’s economy had started to recover, and so has Palau’s Trust Fund. “As of the end of March of this year, the Compact Trust Fund had increased in value to $151 Million and continues to grow.”
The President reiterated that the Trust Fund alone is not enough to fund the country’s operating requirements and becoming economic self-sufficient. But at least the $250 million package that it has agreed to with the United States will allow the Trust Fund to heal itself to a level that will sustain us into the future. Hence it is necessary, he said, that the country must take every action necessary to promote development towards economic self-sufficiency.
Among the president’s administration’s accomplishments, he said in his speech, was putting together a task force to study the problems at the Palau Public Utilities Corporation.
Another was the declaration of Palau as a shark sanctuary. “This was done in recognition of the simple fact that the marine environment that surrounds us is our greatest asset and is the principal reason tourists come to Palau.”
He has also instituted and led a Pacific-wide initiative, the Organization of Tuna Exporting Countries, to initiate a process to maximize the income Palau receives from the fishing that takes place in our waters.
His administration has also recently undertaken an initiative to secure an underwater fiber-optic cable to link Palau with the rest of the world.He said he is committed to bring broadband Internet connectivity to Palau as soon as possible.
On the controversial subject of oil and gas exploration, he said his administration has prioritized the issue and will follow through to see that exploration takes place in the near future. “If nothing is discovered, so be it.But we need to find out if a resource is there and if so, we need to develop and exploit it in a responsible manner to provide for our future generations of Palauans,” he said.
He said he is also in the process of launching “green revolution” project to cultivate food crops to ensure food security for our people and promote local agricultural industry.
On public health, his administration is undertaking measures to promote a healthy lifestyle to eliminate the burden of chronic illnesses.
The president was also happy to report that although the country’s local revenues are still lagging, the National Government has used the current revenues to lessen all the old debts that his Administration inherited.“While this process has left us with new debts, these debts are current and I am now in the process of retiring these new debts using current revenues.”
He promised to bring the National Government current before he leaves office. “I am committed to leaving a legacy where payments for all our government’s obligations are current,” he said.
In light of the help that it has extended to the Uyghurs, President said, “Palau is no longer just a diving destination, Palau has become, in the view of some, an active participant in the international community,” he shared.
While his decision to allow several of the Uyghurs to resettle in Palau was controversial, the president said the offer was in conformity with Palauan’s age old cultural tradition of accommodating and helping people in need and also a recognition of the country’s long standing relationship with the United States. “It gave us an opportunity to return a favor to the United States who has done so much for Palau thereby further strengthening our relationship with the United States.”
Palau’s local economy is also starting to grow again because of tourism.But the boost in tourism is not conclusive evidence that Palau is on the road to full recovery. “Our estimated revenue for Fiscal Year 2010 is $35,042,000,” he said. As of the end of the second quarter they have collected the sum of $17,494,289. “Simply put, economic activity in Palau is still less than what it was and, in light of our growing population, less than what it will need to be in the future in order to sustain us. Our collections for 2009 and 2010 were increased as a result of the amnesty program that my administration initiated.”
He added that unless Palau takes action soon to encourage foreign investment to the country and to create jobs in the private sector, “The foundation of our economy will fail us.We must send a strong message to potential investors that Palau welcomes and needs them.”
His greatest regret, the President said, was that the very first legislation he submitted to the Eighth Olbiil Era Kelulau for consideration was the “Foreign Investment Act of 2009”. “It still has not been passed into law,” he said.
However, Senator Surangel Whipps, Jr., in an interview said, “The president has the wrong impression that we are against the Foreign Investment Act, or the Uyghurs and the Oil issues. That’s not the case. We just want to make sure that they’re done properly.”
Senator Whipps added that the speech of the President was what they have expected. “Of course we have differing opinions, but the good news is the economy is improving,” he said.
//
