A delegation from the Federated States of Micronesia (FSM) Congress recently participated in two significant back-to-back meetings aimed at fostering international cooperation and investment opportunities. The delegation attended the MRA Meetings in Tokyo, Japan, from October 8-11, followed by the World Bank Group 2025 Annual Meetings in Washington, D.C., from October 13-18.
MRA Meetings in Tokyo, Japan
Led by Senator Fabian S. Nimea, the FSM Congress delegation included Senator Peter M. Christian, Staff Attorney Alik Jackson, and Staff Attorney Jesse Stutt. They were joined by representatives from the Executive Branch and the FSM Insurance Board. During their time in Tokyo, the delegation attended briefing sessions with MRA Advisors, Inc. to receive updates on strategies for engaging major Japanese corporations (MCs) interested in registering in the FSM, a vital source of revenue for the FSM National Government.
Key Highlights:
- Types of Major Corporations (MCs):
- Captive Insurance Companies: Provide stable income for the FSM National Government.
- Investment-Oriented Major Corporations: Offer less predictable but potentially significant capital gains.
- Taxation: All registered MCs contribute to the FSM National Government through a 21% Corporate Income Tax. As of 2025, there are approximately 176 registered MCs, with 151 classified as investment-oriented. The Major Corporations program has generated approximately $330 million in corporate income tax revenue since inception.
- Legislative Collaboration: MRA Advisors expressed gratitude for the FSM Congress’s support and announced plans to collaborate with the Executive Branch on draft legislation aimed at strengthening the Major Corporations tax regime.
- Chairman Nimea’s Remarks: The Chairman emphasized the longstanding cultural ties between FSM and Japan, highlighting the registration of at least 50 new Major Corporations since the onset of the COVID-19 pandemic. Chairman Nimea reiterated the FSM’s commitment to enhancing its business environment and welcomed prospective investors.
World Bank Group 2025 Annual Meetings in Washington, D.C.
The FSM Congress delegation, also led by Chairman Nimea, included Senator Johnson A. Asher, Senator Jermy W. Mudong, and Staff Attorney Jesse Stutt. They were accompanied by a delegation from the FSM Department of Finance and Administration, led by Secretary Rose Nakanaga.
Key Activities:
The Annual Meetings provided a platform for high-level discussions on international development, focusing on financial mechanisms for sustainable growth. The FSM delegation participated in various events, including:
- AgriConnect: Farms, Firms, and Finance for Jobs
- Building Resilience in a Natural Disaster-Prone World
- Knowledge Café Sessions on job creation and economic policy
- Sustainable Tourism for Jobs, Livelihoods, and Growth
The FSM Congress delegation emphasized that their participation supports the National Government’s financial and development goals, contributing to global discussions aimed at ending poverty and promoting shared prosperity.
The FSM Congress delegation’s trip was marked by productive engagements that emphasized the FSM’s commitment to fostering international partnerships and enhancing its domestic economic landscape. The FSM remains open for business and is eager to collaborate with global partners to drive sustainable development.