China has promised Palau economic benefits in exchange for the latter severing diplomatic ties with Taiwan, a letter the Palauan president wrote to an unnamed United States senator revealed.
President Surangel Whipps Jr wrote to the senator that China had offered “to 'fill every hotel room' in our tourism-based private sector – 'and more if more are built,'” and pay US$20 million a year for a call centre.
The letter asked for Congress’ approval for funds for economic assistance packages pledged to Palau, which alongside Micronesia and the Marshall Islands, come under the Compacts . . .
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