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A retired general, Rios Montt, took power in a coup in 1982. Montt was also a lay pastor in the "Church of the Word" - a Protestant evangelical church. He acquired a de facto title of "President of the Republic, "sought economic reforms as well as an end to the "communist"  insurgency. President Regean described Montt as "a man of great personal integrity and commitment" who is "totally dedicated to democracy." U.S. Military aid to Guatemala, which had been suspended since 1977, was resumed. The US supplied Guatemala's army with training, weapons and money. U.S. Army Special Forces went to Guatemala intent on turning Guatemala's army into a "modern counter-insurgency force."

War by Guatemala's government against guerrillas had been underway since 1960, and in 1982 four groups of insurgents combined to form the Guatemalan National Revolutionary Unity, in Spanish the Unidad Revolucionaria Nacional Guatemalteca or URNG), whose symbol included a head of corn.

Montt's program has been summarized as "rifles and beans." He was quoted in the New York Times on July 18, 1982 as announcing to the people of Guatemala, "If you are with us, we'll feed you; if not, we'll kill you." Montt began a "scorched-earth" counterinsurgency campaign in Guatemala's highlands against the URNG and its supporters. He recaptured what had been considered guerrilla territory but with massacres of civilians - largely Mayans. Charges of genocide would follow. 

In August, 1983, Montt was deposed by his Minister of Defense, General Mejia (Oscar Humberto Mejia Victores) who complained that "religious fanatics" had been abusing their positions in the government. Under General Mejia, elections for an assembly to draft a democratic constitution took place. A new constitution took effect on May 30, 1985. With around 70 percent of the vote, a candidate of the Christian Democracy Party, Vinicio Cerezo, won a presidential election and took office in January 1986. He promised all  Guatemalans a rule of law and reforms to fight corruption. The military was seen as stepping away from politics to a legitimate role in protecting internal security - including the continuing war against the guerrillas. Some alleged that real power still lay with the military. Opponents of the government and the military attributed 56 murders to security forces and death squads.

The URNG recognized that armed struggle was not going to win them power and they sought negotiations with what they hoped would be people willing to give people some rights and justice. The government and military took the position that they had defeated the URNG and were unwilling to talk with the URNG unless the URNG laid down their weapons first.

An unhappy segment in the military attempted a coup in May 1988 and again in May 1989, but in both instances the country's military leadership supported the new constitutional order. Cerezo was refusing to support an investigation or persecution of human rights violations that had taken place in Guatemala. Cerezo's government faced economic difficulties, strikes, protest demonstrations and allegations of corruption. And, following elections held in November 1990, Cerezo was replaced by Jorge Serrano, who was inaugurated on January 14, 1991.

Serrano replaced a number of senior officers and persuaded the military to participate in peace talks with the URNG. His government reversed the economic slide it inherited, reducing inflation and boosting economic growth. In May Serrano suspended the constitution, dissolved Congress and the Supreme Court, imposed censorship and tired to restrict civil freedoms, in the name of fighting corruption. Protests from wide segments of the Guatemalan society combined with international pressure and the army's enforcement of the decisions of the judiciary forced Serrano to resigned, and he fled to Panama. Elections in June 1993 produced Ramiro de León as president, until Álvaro Arzú  was elected in 1996.  

On December 29, 1996, the Guatemalan government and the URNG signed a peace agreement in the presence of UN Secretary-Gernearl Boutros Boutros-Ghali, officially ending the 36-year civil war.

On April 26, two days after publishing a report on the suspected involvement of the military in past atrocities, the assistant Archbishop to Guatemala City, Juan José Gerardi Conedera, was murdered,  With suspicions that the President's own guard had been behind the murder, and amidst mounting national and international pressure, President Arzú formed a commission with his most trusted collaborators and members of the church to fully investigate the crime.

In 1999, President Clinton stated that the United States had been wrong to have provided support to Guatemalan military forces that took part in the brutal killing of civilians.

Elections in the year 2000 brought Alfonso Portillo to the presidency. He declared against the human rights abuses of governments of the previous two decades. He tried to improve the country's distribution of wealth and to end corruption. Members of his staff were accused of theft, money laundering, and transferring money to bank accounts in Panama, Mexico and the United States. His presidency was not a success.

The general election was held on schedule in 2004. A runoff produced Óscar Berger as president - a former mayor of Guatemala City - with 54 percent of the vote.  

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