MICRONESIA

Compiled from the November 2003 Background Note and supplemented with additional information from the State Department and the editors of this volume. See the introduction to this set for explanatory notes.

Official Name:
Federated States of Micronesia (FSM).

PROFILE
GEOGRAPHY AND PEOPLE
HISTORY
GOVERNMENT
ECONOMY
FOREIGN RELATIONS
TRAVEL

PROFILE

Geography

Area: 702 sq. km (about 270 sq. mi.) in four major island groups (Pohnpei, Chuuk, Yap and Kosrae) totaling 607 islands.

Cities: Capital—Palikir. Other cities—Kolonia, Moen, Lelu.

Terrain: Varies from mountainous to low coral atolls.

Climate: Tropical.

People

Nationality: Noun and adjective—Micronesian.

Population: 107,000.

Growth rate: 2.0%.

Ethnic groups: Nine ethnic Micronesian and Polynesian groups.

Religion: Roman Catholic 50%, Protestant 47%.

Language: English (official and common), and all four states have their own ethnic language.

Education: Literacy—89%.

Health: Life expectancy—male 66.7 yrs.; female 70.6 yrs. Infant mortality rate—33.5/1,000.

Work force: More than one-half of workers are government employees.

Government

Type: Constitutional government in free association with the U.S.

Independence: (from U.S.-administered UN trusteeship) November 3, 1986.

Constitution: May 10, 1979.

Branches: Executive—president (chief of state and head of government), cabinet. Legislative—unicameral Congress with 14 seats. Judicial—Supreme Court.

Major political parties: No formal parties.

Economy

GDP: $224 million.

GDP per capita: (nominal) $1,977.

National income: (GDP + foreign assistance) $340 million.

National income percapita: $2,925.

GDP composition by sector: Services 77%, agriculture 19%, industry 4%.

Industry: Types—government, fishing.

Trade: Exports ($33 million)—fish, garments and buttons, betel nut. Export market—Japan (80%), U.S. Imports ($85 million)—food, manufactured goods, fuel. Import sources—U.S. (73%), Japan, Australia.

External debt: $111 million.

Currency: U.S. dollar.

GEOGRAPHY AND PEOPLE

The Federated States of Micronesia (FSM) consists of 607 islands extending 1,800 miles across the archipelago of the Caroline Islands east of the Philippines. The four constituent island groups are Yap, Chuuk (called Truk until January 1990), Pohnpei (called Ponape until November 1984), and Kosrae. The federal capital is Palikir, on Pohnpei.

The indigenous population, which is predominantly Micronesian, consists of various ethnolinguistic groups. English has become the common language. Population growth remains high at more than 3%, ameliorated somewhat by net emigration.

HISTORY

The ancestors of the Micronesians settled the Caroline Islands over 4,000 years ago. A decentralized chieftain-based system eventually evolved into a more centralized economic and religious empire centered on Yap. European explorers — first the Portuguese in search of the Spice Islands (Indonesia) and then the Spanish — reached the Carolines in the 16th century, with the Spanish establishing sovereignty. The current FSM passed to German control in 1899, then to the Japanese in 1914, and finally to the U.S. under UN auspices in 1947 as part of the Trust Territory of the Pacific Islands.

On May 10, 1979, four of the Trust Territory districts ratified a new constitution to become the Federated States of Micronesia. The neighboring trust districts of Palau, the Marshall Islands, and the Northern Mariana Islands chose not to participate. The FSM signed a Compact of Free Association with the U.S., which entered into force on November 3, 1986, marking Micronesia's emergence from trusteeship to independence.

GOVERNMENT

The internal workings of FSM are governed by the 1979 constitution, which guarantees fundamental human rights and establishes a separation of governmental powers. The unicameral Congress has 14 members elected by popular vote. Four senators — one from each state — serve 4-year terms; the remaining 10 senators represent single-member districts based on population, and serve 2-year terms. The President and vice president are elected by Congress from among the four state-based senators to serve 4-year terms in the executive branch. Their congressional seats are then filled by special elections. An appointed cabinet supports the president and vice president. There are no formal political parties.

Each of FSM's four states has its own constitution, elected legislature, and governor. The state governments maintain considerable power, particularly regarding the implementation of budgetary policies.

The judiciary is headed by the Supreme Court, which is divided into trial and appellate divisions. The president appoints judges with the advice and consent of the Congress.

Principal Government Officials
Last Updated: 7/15/03

President: Urusemal, Joseph J. "Joe"

Vice President: Killion, Redley

Sec. of Economic Affairs: Anefal, Sebastian

Sec. of Finance & Admin.: Ehsa, John

Sec. of Foreign Affairs: Iehsi, Ieske K.

Sec. of Health, Education, & Social Affairs: Pretrick, Eliuel K.

Sec. of Justice: McIlrath, Paul E.

Sec. of Transportation, Communication, & Infrastructure: Susaia, Akillino K.

Ambassador to the US: Marehalau, Jesse

Permanent Representative to the UN, New York: Nakayama, Masao

FSM maintains an embassy at 1725 N Street NW, Washington, DC 20036 (tel: 202-223-4383). It also maintains consulates in Honolulu and Guam.

ECONOMY

Under the terms of the Compact of Free Association, the U.S. provided FSM with around $2 billion in grants and services from 1986 to 2001. The Compact's financial terms were renegotiated for a 20-year period through 2023. In 2002 the U.S. provided more than $100 million in Compact grants — an amount equivalent to over one-third of FSM's GDP — plus more than $20 million through other federal programs.

The FSM public sector plays a central role in the economy as the administrator of the Compact funds. The national and state-level governments employ over one-half of the country's workers and provide services accounting for more than 40%of GDP. Beginning in 2004, assistance under the amended Compact will be distributed via grants to the following six sectors: education, health, infrastructure, public sector capacity building, private sector development, and the environment.

The fishing industry is highly important. Foreign commercial fishing fleets pay over $20 million annually for the right to operate in FSM territorial waters. These licensing fees account for nearly 30% of domestic budgetary revenue. Additionally, exports of marine products, mainly re-exports of fish to Japan, account for nearly 85% of export revenue.

Visitor attractions include SCUBA diving in each state, World War II battle sites, and the ancient ruined city of Nan Madol on Pohnpei. Some 15,000 tourists visit the islands each year. However, the tourist industry has been hampered by a lack of infrastructure and limited commercial air connections. The Asian Development Bank has identified tourism as one of FSM's highest potential growth industries.

Farming is mainly subsistence, and its importance is declining. The principal crops are coconuts, bananas, betel nuts, cassava, and sweet potatoes. Less than 10% of the formal labor force and less than 7% of export revenue come from the agriculture sector. Manufacturing activity is modest, consisting mainly of two garment factories in Yap.

The large inflow of official assistance to FSM allows it to run a substantial trade deficit and to have a much lighter tax burden than other states in the region (11% of GDP in FSM compared to 18%-25% elsewhere). The government borrowed against future Compact disbursements in the early 1990s, yielding a significant external debt.

FOREIGN RELATIONS

The Government of the Federated States of Micronesia conducts its own foreign relations. Since independence, the FSM has established diplomatic relations with a number of nations, including most of its Pacific neighbors. Regional cooperation through various multilateral organizations is a key element in its foreign policy. The FSM became a member of the United Nations in 1991.

The Governments of the FSM and the U.S. signed the final version of the Compact of Free Association on
October 1, 1982. The Compact went into effect on November 3, 1986, and the FSM became a sovereign nation in free association with the United States. Under the Compact, the U.S. has full authority and responsibility for the defense of the FSM. This security relationship can be changed or terminated by mutual agreement. The Compact provides U.S. grant funds and federal program assistance to the FSM. Amended financial assistance provisions came on-line in FY 2004. The basic relationship of free association continues indefinitely.

Principal U.S. Embassy Officials

Kolonia (E), P.O. Box 1286, Pohnpei, Federated States of Micronesia 96941, Tel [691] 320-2187, Fax 320-2186; Email: [email protected].

Last Modified: Wednesday, September 24, 2003

TRAVEL

Consular Information Sheet
January 28, 2004

Country Description: The Federated States of Micronesia (FSM) is composed of four states, named after their main islands, and dozens of atolls extending over a large area of the north central Pacific. The four states are: Pohnpei (formerly Ponape), Kosrae (formerly Kusaie), Chuuk (formerly Truk) and Yap. The federal capital is located at Palikir, on the island of Pohnpei and close to its largest city, Kolonia. The FSM is a constitutional democracy, and is party to a Compact of Free Association with the United States.

Entry Requirements: Proof of citizenship, sufficient funds, onward/return ticket, and presentation of a completed "FSM Immigration Arrival and Departure Record" form are required to enter the FSM. The FSM accepts one of the following as proof of citizenship: a U.S. passport, U.S. birth certificate, or a FSM entry permit. The proof of citizenship document must be valid for at least 120 days beyond the date of entry into the FSM. The U.S. Embassy in Kolonia advises U.S. citizens to enter and depart the FSM on a valid U.S. passport. The "FSM Immigration Arrival and Departure Record" can be obtained from your air carrier prior to arrival at the point of entry.

For visits of more than 30 days or for types of travel other than tourism, an entry permit is required. A U.S. citizen visiting as a tourist may stay for up to one year from the initial entry, subject to renewal of his or her entry permit. Entry permit forms may be obtained from www.visit-fsm.org/visitors/permit.pdf. Entry Permit renewals are valid for 30 days at a time, and extensions must be sought after arrival in Micronesia. All states except Yap levy a departure fee. A health certificate may be required if the traveler is arriving from an infected area.

The U.S. Embassy does not issue passports; passports for persons living or traveling in the FSM are issued by the Honolulu Passport Agency. For more information about FSM entry requirements, travelers may consult the Embassy of the Federated States of Micronesia, 1725 N Street, N.W., Washington, D.C. 20038, tel: (202) 223-4383 or go to their website, www.visit-fsm.org/visitors/entry.html. The FSM also has Consulates in Honolulu and Guam.

In an effort to prevent international child abduction, many governments have initiated procedures at entry/exit points. These often include requiring documentary evidence of relationship and permission for the child's travel from the parent(s) or legal guardian not present. Having such documentation on hand, even if not required, may facilitate entry/departure.

Safety and Security: The threat assessment for the FSM is low for terrorism. U.S. citizens in the FSM should review their own personal security practices, be alert to any unusual activity around their homes or businesses, and report any significant incidents to local police authorities.

Crime: The overall crime rate in the FSM is low, but on occasion foreigners have been subject to, and possibly singled out for, theft and verbal and physical abuse. Modern Western swimwear may be considered immodest by local standards, and persons wearing such clothing outside of hotels that cater to tourists could be subject to harassment.

The loss or theft abroad of a U.S. passport should be reported immediately to the local police and the nearest U.S. Embassy or Consulate. U.S. citizens may refer to the Department of State's pamphlet, A Safe Trip Abroad, for ways to promote a trouble-free journey. The pamphlet is available by mail from the Superintendent of Documents, U.S. Government Printing Office, Washington, D.C. 20402, from the Internet at www.gpoaccess.gov or at http://travel.state.gov.

Medical Facilities: Health care facilities in the FSM consist of hospitals on each of the four major islands and a few scattered clinics. These facilities sometimes lack basic supplies and medicines, and the quality of health care varies. Doctors and hospitals may expect immediate cash payment for health services. U.S. medical insurance is not always valid outside the United States. Supplemental medical insurance with specific coverage for overseas treatment and medical evacuation may prove useful. Medical evacuation can be very expensive for non-ambulatory patients. Scuba divers are advised there are only two functioning decompression chambers in the FSM: one in Yap and one in Chuuk.

Medical Insurance: The Department of State strongly urges Americans to consult with their medical insurance company prior to traveling abroad to confirm whether their policy applies overseas and whether it will cover emergency expenses such as a medical evacuation. U.S. medical insurance plans seldom cover health costs incurred outside the United States unless supplemental coverage is purchased. Further, U.S. Medicare and Medicaid programs do not provide payment for medical services outside the United States. However, many travel agents and private companies offer insurance plans that will cover health care expenses incurred overseas including emergency services such as medical evacuations.

Visitors to the FSM, including scuba divers, are strongly urged to purchase medical evacuation insurance.

When making a decision regarding health insurance, Americans should consider that many foreign doctors and hospitals require payment in cash prior to providing service and that a medical evacuation to the U.S. may cost well in excess of $50,000. Uninsured travelers who require medical care overseas often face extreme difficulties. When consulting with your insurer prior to your trip, ascertain whether payment will be made to the overseas healthcare provider or whether you will be reimbursed later for expenses you incur. Some insurance policies also include coverage for psychiatric treatment and for disposition of remains in the event of death.

Useful information on medical emergencies abroad, including overseas insurance programs, is provided in the Department of State's Bureau of Consular Affairs brochure, Medical Information for Americans Traveling Abroad, can be found at http://travel.state.gov.

Other Health Information: Information on vaccinations and other health precautions may be obtained from the Centers for Disease Control and Prevention's hotline for international travelers at 1-877-FYI-TRIP (1-877-394-8747), fax 1-888-CDC-FAXX (1-888-232-3299), or via CDC's Internet site at www.cdc.gov. For more information on health related issues see the World Health Organization's website at www.who.int/.

Traffic Safety and Road Conditions: While in a foreign country, U.S. citizens may encounter road conditions that differ significantly from those in the United States. The information below concerning Micronesia is provided for general reference only, and may not be totally accurate in a particular location or circumstance:

Safety of Public Transportation: None
Urban Road Conditions/Maintenance: Fair
Rural Road Conditions/Maintenance: Poor
Availability of Roadside Assistance: None

In Micronesia, drivers drive on the right-hand side of the road, as in the United States. However, many of the vehicles have the driver's seat on the right side. Traffic, particularly in the state capitals, is increasing. Congestion is a problem particularly during the beginning and end of the workday. Most roads are narrow and without sidewalks, creating a hazard for both drivers and pedestrians. Many roads are in poor condition, with potholes and little or no shoulder. Road conditions can worsen after heavy rains. Driving skills vary; drivers often make turns or stop to pick up pedestrians without warning. Roads outside the towns are often unpaved, and are used by pedestrians, playing children, animals and drivers alike. Streetlights are rare. Taxis are available in state capitals, but visitors are advised to be careful, since some taxi drivers are reckless. There is no formal training in road safety; so many drivers are unaware of road safety rules. Drunk drivers can pose serious hazards, in particular on weekend evenings.

For additional general information about road safety, including links to foreign government sites, consult http://travel.state.gov/road_safety.html. For specific information concerning Micronesian driving permits, vehicle inspection, road tax and mandatory insurance, contact the Micronesia National Tourist Organization offices via the Internet at www.visit-fsm.org/.

Aviation Safety Oversight: Flight schedules and routes are subject to change and there may be little flexibility or alternatives if flights are canceled or missed. The U.S. Federal Aviation Administration (FAA) has not assessed the Micronesia Civil Aviation Authority for compliance with international aviation safety standards. Currently the only commercial air service to the U.S. is on Continental Micronesia airline. For further information, travelers may contact the Department of Transportation within the U.S. at 1-800-322-7873, or visit the FAA website, www.faa.gov/avr/iasa/index.cfm.

The U.S. Department of Defense (DOD) separately assesses some foreign air carriers for suitability as official providers of air services. For information regarding the DOD policy on specific carriers, travelers may contact DOD at (618) 229-4801.

Customs Regulations: Micronesian customs authorities assess import taxes on cigarettes, tobacco, alcoholic beverages, gasoline, and other items that exceed specified amounts. All imports are subject to physical inspection by customs officials. It is advisable to contact the Embassy of Micronesia in Washington or one of Micronesia's consulates in the United States for specific information regarding customs requirements.

Criminal Penalties: While in a foreign country, a U.S. citizen is subject to that country's laws and regulations, which sometimes differ significantly from those in the United States and may not afford the protections available to the individual under U.S. law. Penalties for breaking the law can be more severe than in the United States for similar offenses. Persons violating Micronesian laws, even unknowingly, may be expelled, arrested or imprisoned. Penalties for possession of, use of, or trafficking in illegal drugs in Micronesia are strict and convicted offenders can expect jail sentences and heavy fines. Prison conditions in the FSM meet minimal international standards. Legal procedures provide for due process.

Children's Issues: For information on international adoption of children and international parental child abduction, please refer to our Internet site at http://travel.state.gov/children's_issues.html or telephone the Overseas Citizens Services call center at 1-888-407-4747. The OCS call center can answer general inquiries regarding international adoptions and will forward calls to the appropriate country officer in the Bureau of Consular Affairs. This number is available from 8:00 a.m. to 8:00 p.m. Eastern Time, Monday through Friday (except U.S. federal holidays). Callers who are unable to use toll-free numbers, such as those calling from overseas, may obtain information and assistance during these hours by calling 1-317-472-2328.

Registration and Embassy Locations: Americans living in or visiting the Federated States of Micronesia are encouraged to register at the Consular Section of the U.S. Embassy in Kolonia and obtain updated informationon travel and security within Micronesia. The U.S. Embassy in Kolonia is located on Kasalehlie Street (the main downtown street). The mailing address is P.O. Box 1286, Pohnpei, Federated States of Micronesia 96941. The telephone number is (691) 320-2187. The fax number is (691) 320-2186. The embassy website is http://www.fm/USEmbassy/.