At the outset, allow me, Sir, to convey to you and to this Assembly the greetings and congratulations of the Peruvian people, as well as their best wishes and hopes for the future. Peru is a country that has successfully dealt with its domestic contradictions, and which is looking with vision and determination towards the broad new horizons of international activity. A careful review of what has been achieved to date reveals that much remains to be done; but it also shows that we are following the right course in addressing the demands of our times. However, it would be superficial to use this Assembly, whose central theme is the reform of the United Nations, to recapitulate the events of the past year. We must wake up to the outcome of a long historical process that has accelerated markedly over the last quarter of a century and established around the world a network of international organizations that today exceed the number of States. We must also wake up to a fortunate new development: the individual human being has acquired a position of cardinal importance in the international system. The organizations established by States to satisfy international, human and regional needs, have acquired a permanent character and have created new systems of international relations. When we speak today of reforming the United Nations, no one fails to acknowledge that new mechanisms are required to promote greater development and economic and social stability in the world, and to face current and future conflicts between and within States. There is discussion of the possibility of creating a new economic council and a new social council, as well as expanding and strengthening the Security Council. At the same time, the need has emerged to transform and rationalize the United Nations system, together with the imperative of resolving the Organization’s financial crisis. But in order to carry out those reforms, we need to have a clear-sighted appreciation of the international scene and to adapt the Organization to that reality, so that we can achieve a fruitful and forward-looking perspective. It is necessary for States, in the framework of the United Nations system, to overcome their traditional activities and jointly engage in tasks to deal with those new realities so as to achieve broader representation and functionality, with the possibility of future growth. 13 When the United Nations was founded in 1945, at the end of the Second World War, international relations were different from today. The end of the cold war and the realities of regional integration have made necessary a new vision of the relationship between State sovereignty and the supra-national realities of the international system. Huge social and economic challenges make it necessary for us to persevere in pursuing the purposes and principles of the Charter, to strengthen diplomatic action, and not to succumb to arbitrary interpretations of international legality, which undermine the indispensable primacy of international law. Today the inadequacy of the nation State is more evident than ever, and the appreciation of supranational structures is more widespread than in the past. We discard the simplistic visions of pure internationalism, but we uphold the validity, of the entities that are active today alongside or above State sovereignty. The vitality of the Andean Common Market, the Southern Cone Common Market (MERCOSUR) and the European Union shows us a future of common and vigorous legal international arrangements. We are facing the definitive crisis of nationalism, if not of full legal competence of the nation State. International law today appears as the only framework of standards with which to face the new realities. There can be no doubt that the nuclear reality was one of the factors that transformed the traditional concept of the nation State. The ability to foresee its results has made the decision to accept war more exceptional, and non-atomic armies have adhered to broader, supranational military organizations. Atomic weapons have abolished the impermeability of the nation State. We are likewise faced with a crisis of the very concept of borders. Traditionally, empires thought of themselves only in terms of being an extension of their borders. Today borders are not an obstacle to integration. However, this does not imply that we are building a universal State, a global “cosmocracy”. There are natural limits to the territorial applicability of laws, and it is true that the concentration of power has unbreachable limits, beyond which it cannot go. Accordingly, history has so far not led us to a universal State, but rather to a freer structure, a complex political pluralism with a common general foundation of representative democracy, individual liberties and economic freedom. We are facing new, functionally limited supra-statal powers, with different arrangements that differ in scope and intensity and that are superimposed upon the system of State borders. The modern theory of the State forged by Machiavelli and Bodin, the concept of the State as an absolute power that excludes any other power, is today fading. For more than 20 years States have recognized forces superior to themselves. The idea of the unlimited sovereign State has broken down; the linchpin of the whole theory of the modern State has broken down. Today sovereignty continues to exist, but not as unlimited political power, but rather as full constitutional legal competence. That seventeenth-century concept that inspired the Peace of Westphalia, cuius regio eius religio — that each State should have a religion — has been left behind. This is more apparent than ever at the end of the cold war, when the secular beliefs that confronted the world have been discarded. Today the cohesion of human societies is governed by universal concepts. The new reality leads us to assert that State sovereignty has already been made subject to international law — and, it can be said, to natural law — thus negating the theoretical legitimacy of the State that was born with the modern age. This in no way means that there is no longer a need for patriotism, the concept of fatherland or national histories. It means, instead, that the myth of the nationalist State has collapsed. In a truly human breakthrough and not a purely technological one, all moral values today are reduced to their personal roots. Today, neither Governments nor the governed can shirk the ethical imperatives that rule equally over their public and private conduct. This is due both to the process just outlined and to a wholly new and far-reaching technological revolution in mass communications. The law of nations was at first a principle of commercial intercourse. It later came to apply to only one kind of actor: the nation State. Today, an open functional regionalism is bringing about far-reaching changes that are swiftly altering the existing order, and the United Nations would be ill-advised to disregard that new reality in strengthening the Security Council and reforming its institutions. This is the cornerstone upon which the United Nations should be re-founded, now that the circumstances of power which governed its life at the close of the Second World War and during the cold war have been overcome. We should not lose sight of the fact that, although the act of consent that forged this new, open, functional regionalism was the work of the nation State, today that regionalism is already a supranational reality 14 that has taken on a life of its own and is spreading around the world. Inter-statal balances of power are giving way to regional balances of power that are not concentrated in a single focal point of power and that are more decentralized and more rational. The future will be one in which an international system with freer and more flexible structures will be based on the freedom of man as an individual, as a person. This obliges States, within the framework of the United Nations system, to go beyond their traditional activities and jointly engage in management activities in the Organization based on the new cultural, economic and geographical reality made up of broad functional regional areas. I say once again: this is the keystone of the foundation of the new edifice of the United Nations. I have come here to reiterate the commitment of Peru and of the Peruvian people to the United Nations, but also to warn that the new realities that must not be ignored. Those realities have guided the policy of President Alberto Fujimori and are the inspiration for his Government’s far-reaching and successful reform. Peru, in its continental relations, today bases its foreign policy upon the principles of open functional regionalism and strives to link the Pacific with the Atlantic through supranational arrangements. Rooted in its rich Latin-American heritage, my country sees its future in continental terms, drawing upon Latin America’s important contribution in the area of integration, international law and mechanisms for peace and security. Accordingly, we are convinced that organizational changes in the United Nations should be based on those same principles.