With lasso tool cut around the face and make new layer which will be on top of original layer.
step 3 of 7
This is what you should get.
step 4 of 7
Now go to filters - Blur - surface blur and apply.
step 5 of 7
Once blurred add layer mask (you will see it at the bottom of your layer pallet) and remove eyes and mouth and around the face. Use a soft brush. Your image should look like this. Then make sure the original layer is on and reduce the top (blurred) layer's opacity.
step 6 of 7
Image should look like this.
step 7 of 7
Now use you lasso and go around both eyes and change color, contrast and lightness.
Once that is done you can clone the background and play with the color and contrast.
I happen to like the look of the blue. :)