He continued his predecessor's strong emphasis on Central American cooperation and integration, which resulted in an agreement easing border controls and tariffs among Honduras, Guatemala, Nicaragua, and El Salvador.
At the 17th Central American Summit in 1995, hosted by Honduras in the northern city of San Pedro Sula, the region's six countries (excluding Belize) signed treaties creating confidence- and security-building measures and combating the smuggling of stolen automobiles in the isthmus.
In subsequent summits (held every 6 months), Honduras has continued to work with the other Central American countries on issues of common concern.
Immediately after 21 April 2004 these troops were withdrawn by President Ricardo Maduro in the wake of a similar decision by Spanish prime minister José Luis Rodríguez Zapatero.
Honduras joining the coalition was largely an attempt to improve foreign relations with the United States over the issue of the migration of many thousands of Hondurans to the US.
[114] Both countries established diplomatic relations on 24 April 1955 when Mr. Joseph Kessary, Envoy Extraordinary and Minister Plenipotentiary of Israel (resident in Mexico) presented his credentials to President of Honduras.
[120] According to Lobo, the organisation was expected to adopt a co-ordinated position on the issue,[119] but El Salvador, the nation presiding over the summit, refused to include the matter on the official agenda, insisting that discussion should retain a regional focus.
Both countries share common membership of the International Criminal Court, the World Trade Organization, as well as the Central America–UK Association Agreement.
[141] Honduras is a transshipment point for drugs and narcotics; illicit producer of cannabis, cultivated on small plots and used principally for local consumption; corruption is a major problem.