Joint Statement Following Discussions With the President of Peru.

DR. MANUEL PRADO, President of the Republic of Peru, is making a state visit to the United States at the invitation of President Kennedy, with a view to strengthening the already friendly relations prevailing between the two countries. In keeping with this objective, the two Presidents have held conversations characterized by a spirit of cordiality, frankness and understanding. They discussed a number of matters of bilateral interest as well as other important problems in international relations.

The Presidents in their discussions affirmed their adherence to the principles of the Alliance for Progress. They stressed the great importance of the economic and social development of Latin America in order to achieve growing economies, with effective and continuing improvement in living standards, and thus to satisfy the urgent aspirations of its peoples for a more equitable participation in the life of their countries. Each Latin American country must therefore concentrate increasing efforts and make greater sacrifice toward such basic development. The United States for its part is prepared to assist in the realization of this objective in accordance with the principles established in the Charter of Punta del Este. With this in mind the Presidents considered various projects of importance to Peru's economic and social development. The United States will participate in emergency projects being initiated by the Peruvian Government in the critical Puno area.

The Presidents agreed that such development in Latin America would be facilitated by the formulation by each country of a national development plan to establish its own goals, priorities and reforms.

They also agreed that only by instituting reforms in such fields as land tenure, tax structure and the utilization of national income can the objective of integrated social and economic development be achieved.

President Prado emphasized that one of the essential problems in the case of Peru is the integration of the Indian population into the life of the country.

The Presidents agreed to the need for stimulating private investment in Peru and in all of Latin America. President Prado emphasized that Peru, because of its raw materials, its advanced legislation, its policy of free trade, monetary stability and the absence of exchange controls, offers excellent opportunities for foreign capital interested in participating with Peruvian capital in the growth of its promising economy. In order to encourage such investment, he stressed the desirability of eliminating double taxation.

Following a review of the international situation, the Presidents agreed on the need for a firm policy to confront the unceasing conspiracy of international Communism against the peace of the hemisphere and of the world, recognizing that the successes or failures of Communism wherever they may occur have direct or indirect repercussion in each and every nation.

The Presidents emphasized the importance of hemispheric unity for the preservation of peace and the development of harmonious relations among nations. Because of their traditions of liberty, faith in the human being and encouragement of individual initiative in all aspects of life, the Americas must serve as a bastion of these principles and a force for harmony in the world. Such unity is firmly founded upon long historic ties and a community of purpose of the nations of the hemisphere and on recognition and respect for the distinctive national character of each member of the American family.

As guiding principles governing the peaceful relationship of nations, fundamental to the Inter-American system, the Presidents reiterated the importance of nonintervention in the domestic affairs of other states and the right of self-determination of peoples by means of periodic, free and democratic elections to guarantee the rule of liberty, justice and individual social and human rights. They agreed that when an alien ideology establishes a foothold in the hemisphere or when its official and unofficial agents engage subversively in undermining constitutional order, this constitutes both a violation of the principle of nonintervention and a threat to all the nations of the hemisphere.

The Presidents reasserted their adherence to the principles of the United Nations and of the Organization of American States, which are the embodiment of the fundamental precepts of the rule of law and justice, the faithful observance of international obligations and agreements, and the respect for national independence, identity and dignity. They call on all nations to reaffirm in their actions their adherence to the high principles of those two organizations.

The Presidents also discussed the similarity of the principles, particularly the principle of reciprocal assistance, which characterize the Organization of American States and the North Atlantic Treaty Organization. They agreed that it is more than ever essential that these regional organizations be alert to maintain and defend the civilization that is common to their members.

In conclusion, the two Chiefs of State reiterated their unwavering determination to foster arid perfect the close cooperation that exists between their nations in matters of common interest both of regional consequence and of world importance.