The World - News from July 19, 1989

Western European countries and Canada have pledged $1.8 billion in aid over the next three years to war-ravaged Central America, provided that the region makes progress toward peace and democratic reforms, U.N. officials said. The money is to be administered by the U.N. Development Program, which has drawn up a program for the region that would cost a total of $4.3 billion. The program, known as the Special Plan for Economic Cooperation for Central America, ranges from measures to help Central American refugees to steps that would reactivate the defunct Central American Common Market, reduce the region’s foreign debt and promote industry and agriculture.