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Trends And Prospects Of Inter-Korean Economic Co-Operation

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Chapter Summary

During the nearly 20 years since 1989, the inter-Korean economic co-operation project has not only expanded in scale, but has also maintained itself through systems related to the project, in particular, the Kaesŏng Industrial Complex and Mt Kŭmgang tourism. However, many business companies are still sceptical about advancing into the North, citing problems such as the North's actions in restricting visits, ignorance of the market economy, lack of willingness to reform and open up, and lack of related infrastructure. Against that, the South-North summit talks held in 2007 were intended to settle many of these problems and provide an opportunity to expand inter-Korean economic co-operation. This chapter analyses the results and problems in economic co-operation up to the present and suggests plans for revitalising this co-operation in the future.

Keywords: inter-Korean economic co-operation; Kaesŏng Industrial Complex; market economy; Mt Kŭmgang tourism; South-North summit



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