Although the number of international terrorist incidents has dropped in recent years and more terrorists are being arrested and tried for their crimes, international terrorism remains a serious, ongoing threat around the world. Individual bombings and armed attacks, while fewer in number than last year, continue to cause horrendous casualties. Moreover, domestic--rather than international--terrorism continues to beset countries such as Algeria, where numerous brutal massacres of ordinary citizens have been perpetrated by terrorists during the past five years. During 1997 there were 304 acts of international terrorism worldwide, an increase of eight from the previous year. This figure is one of the lowest annual totals recorded since 1971. More than one-third of the year's attacks occurred in Colombia, 90 of which were low-level bombings of oil pipelines that caused damage but no casualties. Countering the terrorist threat remains a high priority for the United States. We have developed a three-part counterterrorist policy that has served us well over the years.