We have agreed to advance hand in hand in fighting terrorism

Colombian President Andres Pastrana

Following the conclusion of the Ibero-American summit in Peru on Saturday night, the leaders signed a statement condemning acts of terrorism wherever they occured and no matter who committed them.

They undertook not to allow their countries to harbour terrorists.

They also pledged to shore up the world economy - and in particular to support Argentina as it battles to avert a default on its $132bn debt.

President Castro stayed in Cuba

The Cuban President, Fidel Castro, was absent from the forum - the 11th such Ibero-American summit - which was held this year in the Peruvian capital of Lima for the first time.

He stayed in Cuba to lead reconstruction efforts after the devastation caused by Hurricane Michelle earlier this month.

At last year's summit in Panama, Mr Castro - whose country is blacklisted by the United States as an alleged sponsor of terrorism - refused to sign an anti-terrorism motion.

But his Vice-President, Carlos Lage, said Cuba was happy to sign this year's declaration because it addressed all of President Castro's concerns.

But the statement warned that the fight against terrorism must respect human rights and be fought in full accordance with United Nations resolutions.

The effort will include the exchange of intelligence and extradition of terrorists, the resolution said.

"We have reaffirmed our rejection of terror, violence, crime and killing as a means of defending ideas or political positions," said Spanish Prime Minister Jose Maria Aznar.

Aid for Argentina

On the financial front, Argentine President Fernando de la Rua, who left the summit early to attend an International Monetary Fund meeting, has sought to reassure his peers.

Many fear a default on Argentina's debt could bring down other fragile economies.

"Don't worry, Argentina is safe," said President de la Rua as he left Lima.

Peruvian Economy Minister Pedro Pablo Kuczynski said a new international financial aid package for Argentina was being considered, and that Latin American countries agreed they should contribute.

"That would be a positive signal to the international community that Latin America no only asks for help, but also grants help," he said.

Other documents signed by the leaders at a ceremony in Peru's government palace included praise for Peru and Nicaragua for clean elections, and a call for Britain and Argentina to settle a sovereignty dispute over the Falkland Islands.