DPRK agrees to Chinese aid based on market principles

Kyodo News:

China has reached an agreement with North Korea to let the private sector, rather than the government, take the initiative in providing economic aid to Pyongyang and to respect market principles, sources familiar with China-North Korea relations said Saturday. According to the sources, the market-based approach is contained in a cooperation agreement in economy and technology signed by the two countries when Chinese President Hu Jintao visited North Korea in late October.

One of the objectives of North Korean leader Kim Jong Il’s visit to China in January was to confirm this approach, the sources said.

The sources also said a cooperation agreement in economy and technology signed by a Chinese delegation led by Vice Premier Wu Yi during their visit to North Korea in early October is separate from the agreement with the same name signed during Hu’s visit later that month.

The earlier agreement calls on China to continue providing materials and technological cooperation for the Da’an Friendship Glass Factory near Pyongyang. It also allows North Korea to export glass products made at the factory.


Comments are closed.