A proposed bill is seeking the modernization of customs control and enforcement.

House Bill 11-86-9S also calls for the need to consolidate the laws relating to Custom controls and enforcement , and provide for revenue administration, border management , trade and travel facilitation and security. 

“The OEK  finds that this Custom Act is necessary addition to the Palau National Code too create a legal framework for a fundamental government function. Customs work already exists within the Executive Branch and is guided by Executive Orders,” the bill stated . 

The 63- page bill contains a comprehensive law pertaining to Customs operation including border security and immigration,

The law also covers entry of goods into the country  and  its authority on valuation of goods. 

In the past, Custom bureau is separated from the Immigration bureau but the new law has put them under the Ministry of Finance. 

In 2022,   Palau has taken active steps to improve its service delivery, security and health requirements at the border after successfully completing its national consultation on integrated border management after a   national consultative workshop   organized by the United Nations Development Programme (UNDP) under the Pacific Integrated Border Management Project funded by the Government of Japan. 

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