Palau President Surangel Whipps Jr is seeking funding of US$100,000 from Congress for financial technology projects including the Digital Residency programme.
In a letter to Olbiil Era Kelulau (OEK), President Whipps said the budgetary needs will support the country’s economic diversification initiatives.
“As our nation looks to recover and diversify our economy that has been significantly impacted by the COVID-19 pandemic, it is critical that investments be made to encourage diversification of our nation and enhance capacities, including fulfilling our administrative and enforcement obligations for Digital Residency Programme,” Whipps said.
Palau’s Digital Residency law allows the nation to grant digital residency, a legal resident identification that does not require physical residence in Palau but has the functionality of a legal resident.
Under the programme, Palau receives a US$150 fee for each application and Identification issued. The private partner, Cryptic Labs, a company Palau has an agreement with to manage the Digital Residency program will charge fees in addition to the amount stated by law as fees to be charged.
To complement the Digital Residency law, Whipps said Palau is working on other related laws that will complement digital residency and bring other opportunities such as digital financial services, crypto trading, and others.