How do people in Palau pay online?
Palau is the smallest market in this group, with about 17,700 people in 2025 according to the World Bank, which puts internet use at 83.9% in 2024. We found no published survey of how people in Palau pay online, so this guide sticks to what can be sourced.
Prices are in US dollars, so a merchant does not need to support a separate local currency.
Cards are the direct way to pay a website. BankPacific, an FDIC-insured bank with offices in Palau, Guam and Saipan, issues a Visa debit card that can be used anywhere Visa is accepted, and offers online and mobile banking. Bank of Guam also has a branch in Palau. The government’s own Bureau of Revenue and Taxation accepts credit and debit cards, cash, wire transfers and ACH direct deposit for tax payments.
The payment system is due for modernisation. After its November 2025 mission the IMF recommended that Palau modernise its payment system and prepare a national payment strategy exploring tailored approaches, including the possibility of mobile money.
Google Pay is on Google’s list of countries where people can pay online and in apps. Apple Pay is not on Apple’s list for Palau.
What rules shape online payments in Palau?
PGST is 10%. The Palau Goods and Services Tax was introduced on 1 January 2023 as a broad-based tax of 10% on most goods and services sold or consumed in Palau. Registration is compulsory for businesses with average annual taxable supplies above USD 300,000 and for holders of a Foreign Investment Approval Certificate, whatever their turnover. Businesses with supplies between USD 50,000 and USD 300,000 can register voluntarily.
Digital services count as services. The Ministry of Finance lists telecommunications such as phone, internet and digital downloads among supplies of services.
Business Profits Tax replaced Gross Revenue Tax for PGST registrants. From 1 January 2023, Business Profits Tax at 12% of net income applies automatically to businesses registered for PGST.
The IMF has advised caution on new digital money. It recommended a cautious approach to digital initiatives such as a tokenised dollar until gaps in legal, prudential and regulatory frameworks are addressed.
How would Omno route payments in Palau?
A merchant would connect once and set routing rules per method, currency, amount and customer group. In Palau:
- Card payments in USD would be routed by BIN to a provider that acquires Visa and Mastercard, with cascading to the next provider in the rule if one is unavailable or rejects the request.
- Google Pay would be offered on the hosted checkout and routed under the same card rules.
- Bank transfers could be accepted through a provider that confirms incoming payments by notification.
Webhooks would report the final status of every payment, and the routing-decision log would show which provider handled each payment and why.
What should merchants plan for?
Plan for cards first. Visa debit cards from local banks are the direct route to pay online.
Plan for PGST at 10%. Check whether your Palau supplies pass the USD 300,000 threshold, or whether you hold a Foreign Investment Approval Certificate.
Plan for US dollar pricing, with no FX step for USD settlement.