The Pacific island nation of Palau is fast emerging as a sought-after destination for Indian tourists, buoyed by the country’s recent move to grant visa-free entry to Indian passport holders. New booking data from digital travel platform Agoda shows that Palau recorded a 49% year-on-year (YoY) increase in accommodation searches between July and December 2024 for stays in early 2025.
Traditionally better known to divers and eco-tourists, Palau is positioning itself as a broader travel destination for Indian holidaymakers seeking pristine beaches, unique culture, and off-the-beaten-path adventure in the Pacific. The surge in interest reflects a growing appetite for new, lesser-known destinations, alongside the easing of entry requirements across Southeast Asia.
Malaysia, which introduced visa-free entry in 2023, reported a 47% rise in Indian travel interest, while the Philippines, which rolled out visa-free access in April 2025, saw a 26% boost. Sri Lanka also posted a more modest 9% increase, indicating that Indians are increasingly exploring both familiar regional hubs and new frontiers like Palau.
“The easing of visa restrictions across Southeast Asia and the Pacific is a welcome move that resonates strongly with Indian travellers,” said Gaurav Malik, Agoda’s Country Director for India, Sri Lanka, and Nepal.
“As barriers to entry fall, we’re seeing a direct impact on travel planning. This new era of accessibility is helping travellers discover not just tourist-favourites like Malaysia and the Philippines but also hidden gems like Palau," he added.
The Pacific Islands, historically constrained by distance and limited connectivity, are now better placed to attract high-value Indian visitors. Palau’s commitment to visa-free travel, coupled with its reputation for marine biodiversity and sustainable tourism, could put it on the map for Indian holidaymakers seeking more than the usual beach escapes.
