Introduction

This report provides a comprehensive analysis of the sovereignty of Micronesia using the methodology of the Burke Institute. Sovereignty is assessed in 7 areas: political, economic, technological, informational, cultural, cognitive and military. Each aspect is assessed on the basis of official data from international and national sources (UN, World Bank, UNESCO, IMF, ITU, FAO, SIPRI, PISA, etc.) without using politicized indexes. The maximum score in each direction is 100; the sum (up to 700) is the accumulated Sovereignty Index (Burke Index).

To adapt and adjust statistical parameters, an international expert survey was conducted for each of the seven components using a single questionnaire of 10 questions with a 10-point scale and one open-ended question.

In total, at least 100 experts from 50+ countries were interviewed for each indicator, taking into account geographical representation and specialization. When calculating and analyzing the data, equalizing coefficients were used, bringing all data to a scale of 0-10 points.

The final index value is the arithmetic mean between statistical data and expert estimates.

Below is an analysis in each area, a summary table and the main conclusions about the peculiarities of the sovereignty of Micronesia.

Political sovereignty — 54.6

FSM is a member of the United Nations, Pacific Islands Forum (PIF), ACP, WHO, WTO, IMF, UNESCO, World Bank and many others. A Compact of Free Association has been concluded with the United States, according to which the United States is responsible for external defense, a macro-level military presence and a significant amount of external assistance.

The Constitution of the FSM guarantees independence, but international law takes precedence on a number of issues (for example, in the implementation of the Free Association Agreement and human rights agreements). In fact, U.S. laws and agreements prevail on military, migration, and strategic issues (for example, jurisdiction in a number of criminal and immigration cases).

The domestic political environment is generally stable, but in 2025 there was a political crisis at the level of individual states (Chuuk: conflict over the election commission, declaration of an emergency regime, judicial and public clashes). Despite this, there are no crises at the national level, and the Government enjoys trust.

According to the World Bank, the Government Effectiveness index in 2023 was +0.23 (above the global average), with a historical range of -0.80 to +0.4 over the past 20 years. FSM ranks between 0.42 and 0.45 according to the EGDI index (2024), being in the group of “developing” or “below average” among SIDS; the infrastructure of electronic public services and digitalization of government agencies are gradually developing with the help of donor programs, but the coverage and maturity of services are limited.

President Wesley Simina (in office since 2023) enjoys the support of parliament and key state institutions, the system is based on the absence of parties, individual participation and the influence of traditional institutions. General reforms and the policy of supporting social projects are perceived positively at a high level, however, trust may vary at the staff level. The United States has the legal right (according to the Compact of Free Association) to deploy military facilities and FSM personnel are tightly integrated into the American security architecture — new facilities are being created under the coordination of the United States. In practice, there are no permanent large-scale bases, but there is an infrastructure for logistical and support for the US military.

The FSM is not a party to the Rome Statute of the ICC and, according to a number of legal norms, is distanced from international criminal and arbitration authorities due to obligations under cooperation with the United States. However, it participates in marine and climate initiatives, and signs bilateral international agreements, including the WIPO.

The structure is federal: four states have strong powers (Pohnpei, Chuuk, Kusaye, Yap); the national government and the president are responsible for foreign policy, economic strategy and coordination, each state independently decides on education, health, and domestic policy.

There are no separate special services in the country — security and intelligence issues are supervised with the support/accompaniment of American partners (the level of transparency above average in the region is based on external audit and the absence of closed law enforcement agencies, but internal control systems are under development).

Data completeness assessment: the main indicators are available from international sources, the coverage is 88%.

Economic sovereignty — 42.7

GDP per capita by PPP in 2024 is $3,824-4346, depending on the source (World Bank, IMF, Trading Economics). The country's official international reserves are about $480-500 million (2024), which will be enough for about 22-25 months of imports. This is a very high level for such an economy. The national debt is at 17% of GDP (2021), and at the end of 2023/2024 it is in the range of 17-21.5% of GDP, with an upward trend after the completion of the financial support package under the agreement with the United States.

While maintaining the policy, the current debt is considered safe, but long-term forecasts indicate a chance of an increase to 45% by 2031 without additional measures. The level of food security is vulnerable — the country depends on imports (especially rice, wheat), climate threats (drought, El Nino) have already caused a state of emergency in 2024 with the threat of water and food shortages.

Sustainable agriculture and agroecology programs are being developed. In fact, the country is completely dependent on the supply of imported fuels (diesel, gasoline), but since 2024, a National Strategy for the transition to renewable energy has been implemented — solar power plants are being built, local diesel-solar hybrids and trial hydraulic power plants are being introduced; by 2050, it is planned to reach “net zero”.

FSM has rich marine (fish, shellfish, algae), forest (Pohnpei, Kosrae) resources. There are modest reserves of phosphates, manganese nodules, and rare earth metals, but there is no large-scale industrial development. Water supply is provided by underground and surface sources, as well as rainwater collection. In 2024, due to El Nino, part of the states (Yap, Pohnpei, Chuuk) declared an emergency due to severe drought, which significantly reduced the amount of available water, especially on low-lying islands.

In July 2025, the national Revenue Management System (RMS) was launched: the first digital tax/customs processing, online payments are becoming available throughout the country (with the support of the World Bank), but cash prevails in retail payments. All internal and external transactions are carried out exclusively in US dollars (USD) — the country does not have its own currency, all transactions are in the US dollar.

There is no central bank or its own issuing authority, monetary policy is determined by the United States, the State Department finances the macro-infrastructure through Compact agreements and financing of development funds, local banks operate on a dollar basis, lending is limited.

Data completeness assessment: the main macroeconomic indicators are available from official sources (World Bank, IMF), coverage is 89%

Technological sovereignty — 26.8

R&D expenditures are less than 0.05% of GDP; there is no systemic government investment, and innovation activity is extremely low according to international and regional surveys. Import substitution in the high-tech sector is not being implemented — more than 95% of equipment (electronics, industrial solutions, software, computers, medical equipment) is supplied from outside; the state subsidizes tariffs, but there is no local production.

The only national university in FSM is the College of Micronesia (COM-FSM). Enrollment is approximately 8.5% of young people (1,740 students per 113,000 residents, as of 2023/24), only bachelor's degree programs, a significant number of students studying abroad (USA, Pacific USP).

At the beginning of 2025, Internet penetration is 40.5% (46 thousand users); mobile connections — 26.7%, social media penetration — ~36.6% of the population. Several national digital platforms have been launched: the e-government portal, the national Revenue Management System, telemedicine, and online learning (COM-FSM). FSM Smart Island Digital Hub is a 2025 project for digital services (Tonoas, Chuuk). Almost 100% of the hardware, software, electronic components, servers, and mobile devices are imported; there are no local assemblies, and the entire market is imported.

The gradual introduction of electronic public services is underway: a digital tax platform, a public services portal, electronic licenses, telemedicine, distance learning, and e-auditing. The quality of services and coverage are limited by infrastructure and staff qualifications.

Biotechnological autonomy is weak: only basic projects are being implemented — aquaculture, improvement of plant varieties, support for sustainable fisheries, medical and food programs are implemented according to foreign protocols and international grants.

There are no robotics production, research centers, or sectors; there are isolated pilot projects on automation of agro- and aquafarms, but there is no industrial or educational “autonomy.”

FSM is absolutely not engaged in the production of microcircuits, electronics, sensors or related components, all equipment is imported, there are no own research centers and engineering.

Data completeness assessment: key indicators are obtained from WIPO, ITU, UNESCO, which provides 92% coverage.

Information sovereignty — 43.1

The approved Cybersecurity Roadmap (2021) is in effect in the country, a national CERT (FSM CERT — the roadmap highlights the stages of creation and expansion) is being created, and a basic regulatory and coordination structure is being implemented. FSM participates in the ITU joint training initiative for cyberspecialists, and there are online child protection programs.

There is no independent IXP of its own yet: all traffic exchange is carried out through an underwater cable (Chuuk-Pohnpei) and international transits, the infrastructure is being built within the framework of IT grants. In 2025, the FSM Smart Island Digital Hub concept is being implemented for remote islands and increasing digital sovereignty through the creation of local exchange nodes on large islands.

The official language is English (all office work, media, laws), but every state (Chuuk, Pohnpei, Kosrae, Yap) actively broadcasts and publishes media, radio, television, and public newsletters in local languages (there are >10 languages). Facebook instates most of the digital services and social networks (70% of the market, the leading social network), Google-YouTube, WhatsApp, Instagram.

There are practically no local alternatives, and news resources and services are completely dependent on the BigTech ecosystem. The share of local news, music, and educational content in television and radio broadcasting is significant (up to 50%), national newspapers (Kaselehlie Press, National Union) are published regularly, and imported content prevails on the Internet. Documentaries, religious broadcasts, and educational projects are products of local organizations.

HR programs, accounting and scheduled software are being developed (for example, HR Scheduling Software, small CRM/SaaS for businesses and municipalities); startups serve the local market, some of the solutions are represented by partnership projects with Microsoft and FixIT Pacific. 46+ thousand users (40.5%) have access to the Internet, the largest project is the Smart Island Digital Hub (2025) in Chuuk, the development of online banking, e-government, telemedicine and educational platforms; SIM cards are covered by 26.7% of the population, public services and CBT portals — about 30% of the population.

Cloud solutions are provided by Microsoft and regional cloud cloud services (through TechSoup, Public Libraries, and government agencies); hybrid and public cloud infrastructure is being built through the World Bank Digital FSM Project; there are no government-level data centers yet, and they will be deployed in 2024-2025 among schools and government agencies.

The operators are FSM Telecom (a state-owned company) and several partner commercial providers; the infrastructure is owned by the state, but the technical solutions, SIM cards and infrastructure are imported, controlled through the national ICT Policy 2024, and legal sovereignty in the industry is average.

In 2021-2025, a roadmap for data protection is being implemented: the development of laws and procedures for the protection of personal data has been launched, and requirements for storage, processing and processing within the framework of national digital platforms and strategies are being introduced.

So far, there is no legislation corresponding to the international level, but regulations are being introduced at the level of departments and services.

Data completeness assessment: infrastructure indicators are available from ITU, CIRA, OECD and specialized sources, coverage is 87%.

Cultural sovereignty — 68.9

There is one site on the UNESCO World Heritage List — Nan Madol: Ceremonial Center of Eastern Micronesia (Pohnpei State, included in 2016, recognized as an endangered site due to erosion).

Another cultural site, the Yapese Disk Money Regional Sites, is on the candidate list. FSM has contributed to world culture as a center for the preservation of megalithic structures (Nan Madol — “Venice of the Pacific Ocean”, the largest Polynesian complex of antiquity), memorization systems of sea routes, unique island forms of self-government, a living tradition of oral history, stick dance, crane building, carpet weaving, wood carving and navigation practices without tools.

Each state hosts annual festivals, craft competitions, dances, and folk art. Regional and national events (for example, the Micronesia Expo, the FSM National Arts and Culture Awards) focus on supporting craftsmen and performers in dance, poetry, decorative arts, traditional construction, and cuisine. Four states (Pohnpei, Chuuk, Yap, Kosrae) preserve their own languages, myths, institutions of elders, caste system, practices of tribal organization and rituals of meetings in men's (and partly women's) homes, collective maritime and family celebrations. The system of traditional land ownership, strong family ties, and respect for elders are the foundations of identity.

Educational and cultural subsidies and special programs are being implemented at the national and state levels to support languages and crafts in villages. Elements of legislation for the protection of traditional knowledge and intangible objects are being introduced, and work is underway to coordinate the Pacific Model Law for IP. In addition to Nan Madol, thousands of islands account for hundreds of key cultural sites — palaces, traditional siege settlements, assembly houses, shipbuilding workshops, traditional fishing villages, craft complexes, archaeological sites and “living cultural landscapes”, including war monuments, museums, markets and temples in each state.

FSM participates in World Exhibitions (Expo 2025 Japan), Pacific Festival of Arts, joint archaeological expeditions, UNESCO and PATA regional programs. The Micronesia Expo is regularly held in Kolonia (Yap) — the 4th in a row, where FSM presents crafts, music, travel products, and works with universities and travel agencies. There is a roadmap for the protection of traditional intellectual property, efforts to register brands of participation in tourism and crafts at the regional and national levels (Pacific Model Law).

Legislative initiatives are aimed at protecting patterns, crafts, “rhomboid money”, Nan Madol objects and maritime practices. FSM cuisine consists of dishes made from yams, taro, breadfruit, fish, seafood, pork, chicken; coconut milk, lemon—like fruits, and frying in earthen ovens are typical.

A special ritual is kanoepirogi, taro and unagi leaf treats; every major celebration is accompanied by a feast with dancing and songs. Engagement is high: celebrations (traditional and modern) are organized at all levels, community dances and crafts are part of the education system, national and state cultural forums gather hundreds of participants, and up to 70-80% of the population is involved in collective or family cultural practices.

Data completeness assessment: basic indicators are available in UNESCO and national statistics, coverage is 86%.

Cognitive sovereignty — 47.4

Micronesia — HDI index for 2023: 0.615 (“medium" level), ranked 136-138, closer to the Oceania average. Government spending on education is 10.5% of GDP (2020), which puts FSM in the top 10 countries in the world in terms of relative educational allocations. Adult literacy is 89% (according to international estimates and the US World Bank, updated in 2023).

FSM does not participate in PISA tests, there are no official results or PISA scores. The share of STEM graduates is low (there is no accurate data on FSM; there are no significant indicators for the female share of STEM graduates, the country is not one of the leading countries in the comprehensive calculation of STEM, the personnel shortage is confirmed by national development strategies).

COM-FSM cooperates with USP (University of the South Pacific), universities in the USA and the Pacific Region; many students travel through exchange programs; distance and mixed programs occupy a significant share (up to 40% of programs are implemented on foreign resources). There are more than 15 linguistic and ethnic groups in the FSM. Languages: English (official), Pohnpei, Chuuk, Kosraese, Japanese — all have local status; education programs in native languages are supported, local literature is funded, and a Language Week is held in schools.

The national focus is the College of Micronesia — FSM (COM-FSM), a number of departments and laboratories in biology, archeology, and agricultural sciences; the regional center is the Micronesian Area Research Center (University of Guam, cooperation with the USA and Japan), Micronesica magazine. COM-FSM portal, educational distance learning platforms under ministries, e-learning — less than 20% of national production programs, most of the online resources are foreign.

There are staff and national scholarship competitions, Pacific Islands Fund grants, and memoranda with the USP and US universities; the number is hundreds of grants and internships per year, with most of the funding coming through Compact (a program for the exchange and support of personnel trajectories for civil service, education, IT, and medicine).

Data completeness assessment: education indicators are available in the UNDP, UNESCO, OECD, coverage is 89%.

Military sovereignty — 28.4

The FSM does not maintain a regular army, and the national police and maritime service are funded as part of internal security (data from SIPRI and the FSM National Budget show actual defense expenditures of less than 0.3% of GDP, mainly in support of police and port services). There is no full-time army, the United States is responsible for defense under the Compact of Free Association. Internal security is provided by the FSM National Police (~350 full-time staff by state) and the Maritime Surveillance Unit (150 people).

The Internal Police and Maritime Unit are armed with small-caliber small arms, 2 Guardian-class patrol boats, and light boats for internal patrols. All modern equipment is provided by the USA and Australia (ships, individual boats), heavy weapons, aviation, and air defense are absent.

There is no own military industry, weapons production, assembly facilities, or independent purchase of complex components; all equipment and weapons come from the United States, Australia, and international aid programs.

The control is carried out by the FSM National Police and Maritime Surveillance Unit in cooperation with the Coast Guards of the USA and Australia; regular patrols are carried out to combat illegal fishing, smuggling and other maritime offenses.

There is no formal military reserve; police on duty/units and the marine service carry out all emergency functions; there are no conscription, mobilization capabilities or mobilization reserves. There is no defense autonomy; national security is fully integrated into the system of relations with the United States under the COFA agreement.

Key decisions on defense and strategic infrastructure are made jointly, and the agreement provides for the right of a strategic veto by the United States and a ban on the deployment of foreign military bases other than American ones. There is no military production, storage facilities, or even repair of modern weapons in the country.

There are no nuclear, missile, chemical, or biological weapons; the FSM officially recognizes a nuclear-weapon-free status, prohibits any foreign military bases other than American ones, and prohibits the storage of weapons of mass destruction on the territory. There are no military space solutions, satellites, or intelligence services of their own.

All strategic surveillance, satellite navigation, risk analysis, and warnings are conducted through the United States Systems (USINDOPACOM), and local units do not have independent capabilities. All parameters are reflected in the annual reports of SIPRI, UNODA, the Ministry of Defense, the official portals of state-owned companies (Embraer, IMBEL) and the UN/NGO industry databases - 87% coverage

Final Summary Table

The main conclusions

Strengths. Federal independence and regional decentralization The FSM is built as a federation with high autonomy for each state (Yap, Chuuk, Pohnpei, Kosrae) and strong mechanisms for supporting local traditions, languages, and cultures, which strengthens the resilience and adaptability of the administrative system. Support, macro stability, and security at the expense of the United States.

The strategic Compact of Free Association with the United States provides FSM with military protection, annual financial support (grants, infrastructure projects), and a stable foreign policy and macroeconomic environment. This minimizes the threat of external aggression, partially compensates for the lack of its own army and technology industry. Strong ethno-cultural identity.

The wealth of ethnic and linguistic groups, the preservation of traditions, support for education in local languages, unique culture (Nan Madol is UNESCO's largest megalithic complex in the region, traditions of navigation and crafts, large-scale community celebrations). Notable achievements in education and literacy Literacy (89%), high level of government spending on education (10.5% of GDP), sustainable development of the national university, expansion of distance education and staff exchange programs, support for young professionals through grants from Compact, USP, Pacific Islands Fund.

The ecological and tourist advantage of Micronesia is a zone of marine biodiversity, with rich untouched ecosystems, a center for international eco-expeditions, water sports, ownership of a rich (though not very developed) EEZ zone (marine resources, fisheries, natural tourism and archeology).

Weaknesses. The absolute technological and production dependence of 99% of equipment, software, electronics, even the introduction of IT and clouds is import. There are no proprietary developments in R&D, no robotics, microelectronics, biotech, or industrial production; the import substitution project is not being implemented/is not possible in the medium term.

Limited defense autonomy; there is no army of its own, all strategic decisions / infrastructure are under the control of the United States, the American military presence is possible under Compact (base construction, defense control, satellite and intelligence services of the United States).

Foreign economic/import dependence on resources Micronesia imports most of its food, fuel, and machinery; the economy is based on fishing and subsidies, food security is low, and climate threats (drought, El Nino) pose risks of mass starvation and emergency situations. Vulnerability of digital and legal systems The ICT infrastructure is developing, but the quality of coverage is average, the share of national platforms is small, legislation on cybersecurity and personal data is in the formative stages, and protection of users' rights and digital services is limited.

Demographic and infrastructural narrow market. The population is small, the domestic market is fragmented between hundreds of islands, transportation is expensive and undeveloped, the economy is not diversified; labor migration to the United States and low innovation activity are holding back growth.

Overall assessment. The cumulative sovereignty Index of Micronesia is 311.9 out of 700 possible points (average — 44.6%), which places the country in the top 150 in the global top. In 2025, the FSM stands on a balance between formal independence, deep federalization (strong internal local control, cultural autonomy, linguistic diversity), complete dependence on the United States for security and finance, almost total technological/industrial import dependence, and high environmental/climate vulnerability.

Systemic strengths — in culture, ecology, global partnerships and education; The main risks are external economic, technological, industrial and strategic dependence, as well as vulnerability to natural, climatic and infrastructural shocks. The Sovereignty profile indicates that the Sovereignty Profile of the FSM is a legitimately independent federation with strong ethno-cultural autonomy and a stable internal structure, but with external defense, fiscal, technological and a significant part of the legal architecture under the influence and management of the United States.

Culture, federalism, local languages, sustainable literacy and social support are strong points.; technological, resource, strategic, and production autonomy is absent or minimal — the FSM remains a “sovereign dependency" with American guarantees and donor programs.