1. The facilitators have been advised by the parties that the facilitation process has been effective in establishing and maintaining tranquility and stability between Belize and Guatemala.

2. Paragraph three of the agreement on procedure for addressing the merits of the territorial differendum and other procedural matters dated 7th February 2000, states that, after the ministerial meeting of 21-23 May, 2001:

"the panel of facilitators will make recommendations to the parties on the way forward towards a definitive solution of their territorial differendum. At the same time, the panel of facilitators will also render their opinion as to whether the objective of this negotiation process can be achieved by the current expiration date of August 31, 2001, and if it cannot be achieved by such date, whether to and to what extent the process should be extended."

3. Having regard to the written and oral presentations by the parties to the facilitators at and in the context of the meeting of 21 - 23 May 2001 and prior Ministerial Level meetings, the facilitators have developed the following recommendations for the consideration of the parties:

1. That the parties pursue a definitive solution via this facilitation process

2. To this end the facilitators, taking due account of all relevant factors (example legal, historical, political, etc), will prepare an present proposals to the parties for a comprehensive, definitive, honorable, and permanent resolution of the territorial differendum between Belize and Guatemala, including maritime delimitations and a development finance plan that would benefit the neighboring local communities in Guatemala and Belize.

3. In preparing these proposals, the facilitators will act in consultation with the parties, and with all others whose cooperation might facilitate progress, and will seek technical assistance as may be necessary.

4. It shall be a principle of the process that the various elements of the proposal will form a single undertaking and, accordingly, that nothing will be regarded as agreed and binding until all elements are approved by the parties in accordance with their respective constitutional processes.

5. The facilitators will provide to the parties such assistance as is necessary for promoting public understanding of the recommendations for the resolution of the territorial differendum.

4. The facilitators believe that the process set out above should be pursued with a sense of urgency on all sides. They conclude that this will not be possible before 31 August 2001 and accordingly recommend that the facilitation process as well as all and any agreements concluded under it should continue for a period of one year to 31 August 2002.

5. The facilitators agree to present their proposals for a comprehensive, definitive, honorable, and permanent resolution to the territorial differedum, by 15 December 2001.

6. In all the above, the facilitators attach the greatest importance to the continued role of the OAS and in particular of its Secretary General, His Excellency Dr. Cesar Gaviria.

Washington D.C., July 18, 2001

Witness of Honor Dr. Cesar Gavira.