Washington/Taipei | The US Congress has passed legislation that will fund key agreements with Pacific Island nations, in an outcome that will spark relief across the Indo-Pacific region after previous delays undermined efforts to counter China.

The Senate on Friday (Saturday AEDT) provided $US7.1 billion ($10.7 billion) in funding over 20 years for the Compacts of Free Association (Cofa) – an agreement that provides the US with exclusive military access to Palau, the Marshall Islands and the Federated States of Micronesia in exchange for economic support.

Financial Times