The Federated States of Micronesia is an island nation located in the Pacific Ocean, northeast of Papua New Guinea. The country is a sovereign state in free association with the United States. The Federated States of Micronesia were formerly part of the Trust Territory of the Pacific Islands, a United Nations Trust Territory under US administration. In 1979 they adopted a constitution, and in 1986 independence was attained under a Compact of Free Association with the United States. Present concerns include large-scale unemployment, overfishing, and dependence on U.S. aid.The Federated States of Micronesia are located in the region known as Micronesia, which consists of hundreds of small islands divided in seven territories. The term Micronesia may refer to the Federated States or to the region as a whole, even though the lack of a central government makes it a sovereign group of states, not a country.