Expressing United States policy regarding reforms which should be taken by the Government of Nicaragua in order to bring about lasting peace, pluralism, and democracy in Nicaragua.

States that it is the policy of the United States to: (1) bring about lasting peace, pluralism, and democracy in Nicaragua; and (2) guarantee that the February 1990 elections in Nicaragua are free and fair. Urges: (1) the Government of Nicaragua to undertake specified reforms, such as reinstating due process and fair trials, ending torture, allowing an uncensored free press, ensuring the right to strike and to publish for unions, and ending the forced relocation of Indians and Creoles; (2) such government to permit independent, international, and non-governmental human rights observers to meet and travel freely without harassment; and (3) all countries in Central America to continue to work toward achieving the democratic principles and processes specified in the August 7, 1987, Central American peace accord.