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Pacific island countries are increasingly exposed to series of environmental hazards that threaten the health of the Pacific islands communities and its natural environment. Climate change tops the list of big issues across all island groups, while local environment battles are being waged over deforestation, land and sea mining, urban migration, infrastructure deelopment and population growth. These brings with its environmental issues such as waste pollution, invasive species, unsafe water, poor sanitation, air pollution, hazardous chemicals and occupational hazards which contributes to poor livelihood.

The FSM State of Environment report presents concise information on the state of the environment for the Federated States of Micronesia. The report revealed the current state of knowledge about the environment in FSM along the following thematic areas: atmosphere and climate, water, land, marine, biodiversity, built environment, and culture and heritage. The report informed that there are a lot of environmental challenges in the FSM and the report will be used as a vehicle to the national and state governments and how it can improve its decision and policy making mechanisms.

This report reviews the past and present status of natural resources and their uses and indicates what trends are occurring to determine future resource uses and impacts of uses. It suggests possible priorities for incorporation into the FSM Nationwide Environmental Management Strategy Optimal socio-economic development in the Federated States of Micronesia requires a long-term, inter-generational perspective on management of the limited but valuable natural resources and the environment.