A two-centuries-old border dispute between El Salvador and Honduras appears to have been resolved in 1993. At issue in this territorial dispute was ownership of six contested bolsones (pockets) of land encompassing a total area of 436.9 square kilometers as well as two islands (Meanguera and El Tigre) in the Golfo de Fonseca, and right of passage for Honduras to the Pacific Ocean from its southern coast.

The origins of the boundary dispute date back to the eighteenth century when colonial boundaries were ill defined. In the late nineteenth century, numerous attempts at mediation failed to settle the dispute. The issue continued to fester in the twentieth century and was a contributing factor in the outbreak of war between the two countries in 1969 (see War with El Salvador , ch. 1). The General Peace Treaty, signed by El Salvador and Honduras on October 30, 1980, in Lima, Peru, represented the first real breakthrough on this border dispute. The peace treaty stated that the two parties agreed to submit the boundary dispute to the International Court of Justice (ICJ) in The Hague if they failed to reach a border agreement after five years of negotiations. By 1985 the two countries had not reached an agreement. In 1986 the case reached the ICJ, which handed down a ruling on September 11, 1992. Both countries accepted the ICJ decision, and a commission was established to decide the citizenship of residents of the bolsones.

Of the 436.9 square kilometers in dispute, 300.6 square kilometers were granted to Honduras, and 136.3 were granted to El Salvador. Of the six bolsones, Honduras was awarded complete control of one and approximately 80 percent of another. The remaining four were split with El Salvador. El Salvador was awarded possession of the island of Meanguera, and Honduras was awarded control of the island of El Tigre. More importantly for Honduras, the ICJ ruling assured Honduras's free passage to the Pacific Ocean. The ICJ also decided that the Golfo de Fonseca does not represent international waters because of the two countries' shared history as provinces of the same colonial power and subsequent membership in the United Provinces of Central America. The court ruled, rather, that the Golfo de Fonseca is a condominium, with control being shared by El Salvador, Honduras, and Nicaragua. The latter country also has a coastline on the gulf. The decision allowed for the possibility that the three nations could divide the waters at a later date if they wished to do so.

Data as of December 1993