Allow me at the outset, Sir, to express my satisfaction and that of my delegation at the President’s election to guide our deliberations. We have strong ties with Portugal, based on the many cultural values that we have historically shared on the fertile soil of the Ibero- American community. For this reason, it is a great pleasure for me to offer Don Diogo Freitas do Amaral our sincerest cooperation and to congratulate him in advance, by virtue of his well-known qualities, on his successful leadership of this memorable fiftieth session of the General Assembly. The delegation of Panama wishes to take this opportunity to express to the Secretary-General, Mr. Boutros Boutros-Ghali, our recognition of the skill, intelligence and dedication with which he is fulfilling his responsibilities at the head of our Organization. This fiftieth anniversary has been a year rich in events. Under the leadership of the United Nations, there have been two major world gatherings — the World Summit for Social Development at Copenhagen and the Fourth World Conference on Women in Beijing — which have focused the attention of the world on matters that are highly complex and difficult because of their cultural, social and political implications. It is gratifying to see that these meetings have fundamentally mobilized women, who are increasingly occupying their rightful role, and that the Conferences have contributed enormously to convert the quest for a solution to the problems of the family and of children into the responsibility of us all, and into a moral imperative that transcends the healthy differences between us. Panama values as a substantive result the hopeful consensus and the important guidelines agreed upon. We reiterate the responsibility of Panama in the Non-Aligned Movement, as well as our readiness to attend the Summit at Cartagena de Indias, Colombia, to contribute to the necessary review, just as we greatly value our participation in the Group of 77. In this context, we reiterate our deepest solidarity with the least developed countries, with which we are cooperating within our means. My delegation is convinced of the need to bring this Organization up to the level of its new and growing responsibilities, and to adapt its functioning, its procedures and its structures to the new conditions that characterize contemporary international society. We are convinced that this is a feeling shared by all Member States, and we believe that existing differences will in due course be resolved. Panama is following with great attention the discussions taking place in the Working Groups on the Security Council, on the financial situation, on the supplement to “An Agenda for Peace” and on the “Agenda for Development”. In particular, and in accordance with decisions taken in the Rio Group, Panama believes that the increase in the membership of the Security Council should aim at correcting existing imbalances in the regional distribution of membership, as well as changing its procedures and working methods, so that the Council can function in a transparent way, in keeping with the letter and spirit of the Charter. In this context, we support the admission of Germany and Japan as permanent members of the expanded Security Council. We are convinced that the expectations of the international community for renewed action by the United Nations can be satisfied only if the financial crisis confronting the Organization is overcome in such a way as to allow it to respond to the mandates of Member States. We are particularly concerned at the consistent trend towards a reduction in funds for development and cooperation programmes, as well as proposals to reorient food programmes towards emergency assistance programmes. We consider the review and indefinite extension of the Treaty on the Non-Proliferation of Nuclear Weapons (NPT) to be of extreme importance, together with the approval of provisions for its periodic review. As a State party to the Treaty of Tlatelolco, which establishes the first nuclear- weapon-free zone, and as a coastal State of the Pacific, Panama wishes to reiterate the Declaration of the Rio Group regarding the resumption of nuclear testing, because that practice has a negative impact on the delicate compromises that this subject involves, as well as the Group’s readiness to continue to negotiate treaties for the total prohibition of such testing, as well as the production and use of chemical and biological weapons. Likewise, we vehemently reject all forms of terrorism, wherever they exist, as well as expressions of racism and intolerance, which are incompatible with our status as members of the human race. Respect for human rights is and must be a fundamental part of the new universal ethics, which my country has accepted as an integral part of our value system and which my Government is completely fulfilling. We are profoundly concerned at the overall situation of the African continent, whose peoples deserve the best of destinies. Nonetheless, we are extremely pleased to underscore the admirable example offered to us by the South Africans who, moving beyond racial or cultural motivations, in a long and heroic effort that has caused so much suffering, have put an end to the most odious form of discrimination — apartheid. The difficulties involved in meeting, living together and working as equals in an atmosphere of tolerance and cooperation cannot conceal the important contribution being made today by the leaders of that Republic under the inspiring leadership of President Mandela, to whom we wish to accord a special recognition for having constructed the democratic foundations of a multiracial and multicultural nation, fully incorporated into the international community. In the Middle East, particularly in Palestine and in Israel, we are delighted to see the efforts of two Governments and their respective leaders and peoples who are struggling tirelessly to consolidate the peace agreements and to move forward in building lasting peaceful coexistence. Our country wishes to add its voice of encouragement to all the forces involved in this exemplary commitment, which contributes so much to the strength of the United Nations system and to international ethics. Panama, a defender of the rights of the Palestinian people and a sincere and constant friend of the Jewish people, as well as of the Arab peoples, believes it is appropriate for the international community to begin to adjust the direction of its own decisions in order to strengthen what is new, to lend greater force to that which unites us, in order to encourage those who desire peace. Inspired by these events, the Member States of the United Nations should recognize the recent achievements that have been made and further encourage the parties to the conflict in Bosnia and Herzegovina to find the political will to arrive at firm, lasting agreements that will spare their own peoples the suffering and pain of being innocent victims of war, of racism and of intolerance. The United Nations peace-keeping forces must be respected and protected, because this is what their noble mission demands and because this has been the decision of the community of nations. The same message applies to other areas of the world that are threatened by violence, or that are subject to breaches of the peace. I believe it is appropriate to refer to the request made by a large number of States, including Panama, to include the item of the special situation of the Republic of China in Taiwan on the agenda of the fiftieth session of the General Assembly. Panama supports this request because it is interested in the unification of China. But since that eventuality is as yet unforeseeable as regards the “when” and “how”, we are convinced that both parties should coexist and participate jointly in the international community with equality and mutual respect. Panama, as a coastal country of the Pacific, and completely sovereign in the inter-oceanic Canal whose neutrality opens it to peaceful use by all nations of the world, desires friendship with all States and wishes to normalize its relations with all users of this inter-oceanic passage. The Torrijos-Carter Treaties provide for the culmination on 31 December 1999 of the process of the return to Panama of the inter-oceanic canal and adjacent facilities and the agreed withdrawal of the troops and military facilities of the United States. This exceptional diplomatic and political event constitutes an example of the peaceful and just settlement of disputes between a world Power and a small country, which today have excellent relations of friendship and cooperation based on trust and mutual respect, as is appropriate for two States committed to efforts to consolidate prosperity, peace, security and democracy on the continent. The regime of neutrality of the Panama Canal, in establishing freedom of transit for ships, without discrimination, promotes the strengthening of an interdependent world with an increasing trend towards international cooperation. It also provides in our hemisphere a concrete example of a system of collective security which ensures the peaceful uses of that inter-oceanic canal, openly, on equal conditions, both in times of peace and in times of war, for ships of all flags and nations of the world. From this rostrum we reiterate the invitation to States Members of the United Nations to adhere to the Treaty concerning the Permanent Neutrality and Operation of the Panama Canal. We are and shall remain the Western hemisphere’s key to the immense Pacific. President Ernesto Pérez Balladares’s recent successful tour of Asia, following his attendance at the Quito Summit of the Rio Group, and his acceptance of the invitation of the President of the United States to go to Washington reflect the desire to reaffirm clearly our decision to establish the closest political, diplomatic and commercial relations with all nations in the geographic arc from Japan to Australia, through the Philippines, and including all the other coastal States of the Asian continent. In keeping with this, we are interested in being admitted to the Asia-Pacific Economic Cooperation Council, as is appropriate for a country that is essentially maritime and commercial. We therefore wish to continue to be the point of convergence, the meeting-point, of races, cultures and civilizations. We wish to continue to express our natural historical and geographical calling, which inspired the Amphictyonic Congress of Panama of 1826, initiated by Simón Bolívar, the Liberator, and which later made possible the emergence of the Organization of American States, the United Nations, the Contadora Final Act and the Rio Group — cornerstones of agreement, dialogue, peace and regional and universal democracy. This explains that our openness to the Caribbean basin, in entering the Association of Caribbean States, our incorporation into the Central American Integration System and our admission to the Andean Group as a permanent observer are basic to our foreign policy, which involves intense activity to create bonds of integration and cooperation in the framework of fruitful, open regionalism. In this context, we believe it extremely important to express our encouragement for the efforts being made by the Secretary-General and his Group of Friends in the negotiations aimed at bringing peace at last to the noble people of Guatemala. We welcome the fact that Contadora is once again becoming a point of reference in the painstaking negotiation of national conciliation for that fraternal people. Panama is honoured to have hosted very recently the parties that reached the initial agreements to bring lasting peace to Guatemala. We welcome the achievements of the European Union and its members, and recognize the value of its important contribution to international cooperation. We encourage it to complement this contribution by intensifying trade with our own country and our region through renewed readiness to facilitate access for our products to its markets. We are conscious that Panama is a bridge not only to the Pacific, but also to the Atlantic, which opens up new opportunities with the States of the European Union. We are following with optimism and attention developments in the countries in transition, with which we wish to have close relations and increased exchanges. Panama, which is today a stable and secure democracy respectful of human rights, with a Government that represents with full legitimacy a people determined 3 to shape for itself a great future of peace and well-being, wishes to remain the cross-roads of international trade, open to all parts of the world, where, in an era of globalization and market integration, the goods and services that are the principal wealth produced by nations can circulate. Because of everything we are and everything we wish to remain, we are here today to share the opportunities that arise from a new situation, which, because it is not imposed by the manifest destiny of others, promises to open up paths towards a great future of cooperation and integration with the region and the world. Panama is particularly proud to invite the members of the international community that use our inter-oceanic waterway to join us in September 1997 in our capital for the Universal Congress on the Panama Canal, where all the direct and indirect beneficiaries of this marvel of the modern world can see the progress in the smooth transfer of the administration and control of the Panama waterway at the end of this century, and consider its modernization and enlargement so that in the twenty-first century it can continue to be the most efficient, most competitive and safest means of maritime transport for the exchange of merchandise and products vital to the economies of many countries of the world. Recognizing the importance of this matter, the General Assembly, at its third plenary meeting, held on 22 September 1995, made it agenda item 162 for the fiftieth session, under the title “Universal Congress on the Panama Canal”. We invite representatives to participate with us in the development of the infrastructure of transport and trans- isthmus communications to serve the continent and the world, with the creation — already under way — in our country, on the banks of the inter-oceanic Canal between the Pacific and the Caribbean, of a large port for the storage and handling of goods, which will complement the operation of the modernized Panama Canal. We also invite representatives to participate in the City of Learning project, a great international centre for the exchange of cultures and knowledge, being promoted by our country on the banks of the Canal. We also wish to say that we have offered the American hemisphere our territory and all the infrastructure and installations necessary to establish a multilateral centre to combat drug-trafficking and related crimes. Panama raised this matter at the recent Summit of Heads of State and Government of the Rio Group, which endorsed the idea and has put it to the President of the United States, Bill Clinton, because we believe that we can succeed in this enormous struggle only if all countries coordinate their plans and actions. At the same time, we strongly support the holding of a second international conference against the use of and illicit trafficking in drugs in order to deal with a problem that has become universal in scope. Panama, as a founding Member of this Organization and a signatory of the San Francisco Charter, has been with the United Nations for its 50 years, carrying on with it step by step, day by day, observing its magnificent achievements and its great difficulties, which for some are overwhelming. But this is not a time for fear or regrets; it is a time for new endeavours, a time to promote new forms, ways and means of international cooperation, with a view to generating, by cultivating the complementary development of our national individualities, the cultural, economic and human resources that can enable us to be free of poverty and backwardness and to open an ever- broadening road to understanding, tolerance, peace and prosperity as we enter the third millennium.