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U.S. DEPARTMENT OF STATE 95/05/22 REMARKS: COUNCIL OF THE AMERICAS "STAYING THE COURSE" OFFICE OF THE SPOKESMAN [As Prepared For Delivery] REMARKS BY SECRETARY OF STATE WARREN CHRISTOPHER TO THE COUNCIL OF THE AMERICAS WASHINGTON, MAY 22, 1995 Chairman Avery, President Briggs, Chairman Rockefeller: It is indeed an honor to have the chance to speak to distinguished members of the Council of the Americas. The Council has promoted greater understanding among leaders throughout the hemisphere. You have brought home to all of us in the United States just how great a stake we have in inter- American cooperation. I can think of no theme more appropriate to this conference than "Staying the Course." For the first time in the history of our hemisphere, we are set on a common course. A new consensus of the Americas has formed. Open markets work. Democratic governments are just. And together they offer the best hope for lifting people's lives. This consensus has been voluntarily embraced by 34 nations. It has found its most hopeful expression in the extraordinary year-long dialogue that culminated in last December's Summit of the Americas. Led by President Clinton, 34 democratically elected leaders launched an historic new process of of economic and political cooperation. Our commitment to have negotiated a Free Trade Area of the Americas by 2005 will generate jobs and prosperity for all our peoples. Under the 23 initiatives endorsed at Miami, the nations of the hemisphere will work together to strengthen democratic institutions, fight corruption, attack narcotics trafficking, combat terrorism, ease poverty, and reverse environmental degradation throughout our hemisphere. When historians look back on the events of that weekend in Miami, I believe that they will see it as a turning point in the integration of a prosperous, stable and democratic Western Hemisphere. But since that moment in Miami, there have been two developments in our hemisphere that tested the strength and durability of the progress that we have made. In late December, a crisis of economic confidence in Mexico sent tremors of financial uncertainty throughout the Americas. And the outbreak of armed conflict between Peru and Ecuador in January revived old questions about the ability of our nations to resolve disputes without resort to bloodshed or punitive measures. Some have cited these two events as proof that our vision of a new hemisphere cannot withstand adversity. They could not be more wrong. To anyone familiar with the history of our region, the progress that it has made over the past two decades is unprecedented. Where once country after country stagnated under military rule, today we are a hemisphere of 34 democracies out of 35 nations. Where once economy after economy was caught in the grip of closed markets, choking debt and hyperinflation, today this is the second fastest growing region in the world, and the fastest growing market for American exports. Indeed, this triumph of democracy and open markets in our hemisphere is reflected even in Mexico's recent crisis. Let us not forget that the Mexico of today is not the Mexico of earlier times. A decade ago, the response to a similar crisis in Mexico might have meant a return to statist policies, the imposition of trade barriers to American products, even the nationalization of key sectors. Instead, Mexico has reaffirmed its commitment to reform. President Clinton acted courageously and decisively in February to mobilize American and international support for Mexico. President Zedillo acted to tighten Mexico's fiscal and monetary policy. No doubt a difficult period of hardship still lies ahead. But the tough medicine appears to be working. And the markets are taking notice. The United States will not waver in its support. Our reasons for helping Mexico remain clear-- the prosperity of our people, the security of our borders, the stability of our closest Latin neighbor, and the stability of other emerging markets in which we have a growing stake from the standpoint of our exports and investments, and American jobs. A decade ago, Mexico's financial crisis could have been enough to send the hemisphere into a tailspin. But nations such as Argentina did not let the shock waves from Mexico halt their own progress toward economic liberalization and open markets. The United States believes that the momentum for economic integration in our hemisphere must be maintained. We applaud the progress that the members of MERCOSUR, CARICOM, the Andean Group, and our Central American neighbors have already made. We are beginning negotiations on NAFTA's extension to Chile. We are determined to fulfill our Miami pledge to establish a free trade area by 2005. To this end, we have been engaged in intensive consultations for the June 30 meeting of Trade Ministers in Denver, which will move us further toward implementation of "Vision 2005." As head of what I call the America Desk at the Department of State, I am committed to ensuring that American companies and workers receive the fullest benefits from our economic diplomacy. Over the past two years, we have, for example, helped to win telecommunication contracts in Honduras, to improve the protection of patents in Mexico and Venezuela, and to resolve investment disputes in Costa Rica, Nicaragua, and Panama. We have also strengthened our joint measures to fight corruption, complementing the global efforts the United States has been pursuing through the OECD. I encourage this Council and other business organizations to maintain their productive dialogue with the State Department and other U.S. government agencies. Coming so soon after the success of the Miami Summit, the outbreak of hostilities between Peru and Ecuador was all the more disturbing. Together with Brazil, Argentina, and Chile, we moved quickly to help Peru and Ecuador end their border clash. We are now working with those two countries to resolve underlying issues. In the region as a whole, conflict and tension have diminished dramatically. Central America is no longer a charnel house of conflicts driven by class, race, and ideology. I note in particular the success of the United Nations, with the strong backing of the United States, in settling the almost intractable conflict in El Salvador -- further testimony that the UN has a valuable role to play and deserves our support. Indeed, our region has attained an unprecedented level of cooperation on regional and global security issues. Argentina and Brazil have initiated dramatic new non-proliferation measures. Working together, the nations of our hemisphere also played a major role in shaping the worldwide consensus for the indefinite extension of the Nuclear Non- Proliferation Treaty. But perhaps the most heartening aspect of dramatic progress in our hemisphere has been our collective commitment to democracy. The movement to democracy in Latin America is a great epic of the late 20th century. And one of the most significant chapters in that epic was our collective action, led by President Clinton, to restore democracy to Haiti last September. Together, we have demonstrated that the democratic tide that has swept over this hemisphere will be defended. Democracy's progress has continued in recent elections in Brazil, in Uruguay, in Peru, and two weeks ago in Argentina. That achievement is all the more impressive in light of the sweeping economic reforms that elected officials are undertaking in those countries. Our leaders remain united in their conviction that sustained economic growth and improved living standards depend on strong, accountable democratic government. Two weeks from now, I will be in Port-au-Prince for a meeting of the Organization of American States at a site that one year ago would have seemed unlikely if not impossible. That meeting will be a tribute to the determination of the Haitian people and to the hemisphere's resolve to stand by democracy. The President's courageous actions to restore democracy in Haiti, and to deal with the financial difficulties in Mexico, are forceful reminders of the importance of the President's ability to act decisively in times of crisis. The same is true of the President's ordering U.S. participation in the international team that is supervising the cease fire in the Peru-Ecuador flare-up. Legislation now being debated in the House of Representatives (H.R. 1561 - the Gilman bill) wages an extraordinary assault on this and every future President's constitutional authority to manage foreign policy. Provisions in the bill that affect this hemisphere clearly impair the President's constitutional authority in the field of foreign affairs. If the bill reaches the President's desk in its present form, I will have no choice but to recommend a veto. The events of the past few months in Mexico and Peru and Ecuador are only the most recent reminders of the tasks that still lie before us. But by any standard, the events of the past year in our hemisphere are cause for hope and not despair. A financial panic averted, an anti- democratic coup reversed, a border war ended -- all this, and agreement on a comprehensive plan of action at the Miami Summit. Much has happened in the 12 months since you last convened at the State Department. As the United States works to sustain that progress over the next 12 months, I will count on the support of the Council to fulfill our Hemisphere's true promise. Thank you very much.To the top of this page