International News

SEOUL, (APP/AFP): North Korea said Thursday it would dispose
of all assets left behind by South Korean firms involved in two now-shuttered joint projects, further raising already elevated tensions on the divided Korean peninsula.
“We will completely liquidate all assets of South Korean firms and
related institutions left behind in our region,” the Committee for the Peaceful Reunification of Korea said in statement carried by the North’s official KCNA news agency.
The projects involved are the Mount Kumgang tourism resort and the
Kaesong joint industrial complex.
The committee said the move was a response to unilateral sanctions
announced by South Korea on Tuesday to punish the North for its January nuclear test and last month’s long-range rocket launch.
“From this time on, we nullify all agreements adopted by North and
South Korea on economic cooperation and exchange programmes,” the committee said.
The South announced the suspension of operations at the Seoul-funded
Kaesong industrial complex last month, saying that money Pyongyang made from
the venture was going towards its nuclear weapons programme.
The shock announcement prompted the North to expel all South Koreans
from the estate and freeze all assets there, shutting down the last symbol of cross-border economic cooperation.
An association representing the 120 firms operating factories in
Kaesong, which lies just across the North Korean border, estimated the value of the assets left behind at 820 billion won ($663 million).
The estate employed more than 53,000 North Koreans making items such
as textiles, footwear and cheap electronics.