President Surangel Whipps Jr.proposed that the Registrar of Corporations will be designated as an Executive Order.
The proposed language is a rider in the proposed the Fiscal Year 2023 Budget Bill.
Last year, President Whipps signed into law that will regulate corporations in Palau, both domestic and international as well as for-profit and not-for-profit corporations.
The law improves the old corporation laws and is aimed at modernizing the stature.
The law was drafted through the assistance of the Asian Development Bank, the Financial Investigations Unit, the Attorney General’s Office, and legal counsels of both houses of the Palau Congress.
An Oct. 21 press statement from the ADB said the new law will simplify business start-up and operation requirements by eliminating unnecessary and outdated formalities, making it faster and cost-effective to register and manage businesses in the future.
Palau also seeks to comply with global anti-money laundering/countering the financing of terrorism obligations with the law.