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Wednesday, 24 December, 1997, 02:26 GMT
Panamanians report progress in drugs centre talks

The United States and Panama are reported to have made progress in their latest round of talks aimed at setting up an international anti-drugs centre in Panama.

The Panamanian president, Ernesto Perez Balladares, said many details remained to be worked out.

But he confirmed that the centre would be built on what is now an American airforce base, when Washington hands it over to Panamanian control before the year 2000.

Correspondents say the plans are highly controversial in Panama, with many people suspecting the US will use the drugs centre as an excuse to keep a military presence there beyond the end of the century.

From the newsroom of the BBC World Service

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