- On October 3, 1990, Germans began to share the same country name. Coincidentally, the date also marked National Founding Day on which Korea was founded 4,323 years before.
- See Myung Chul Cho and Hyoungsoo Zang, “The Present and Future Prospects of the North Korean Economy,” Journal of Asia Pacific Affairs, Vol. 1 (August 1999), pp. 165–211.
- North Korea owed to 111 Western commercial banks a total of $2.33 billion as of 1995.
- Young , Soogil , Lee , Chang-Jae and Zang , Hyoungsoo . January 1998 . “Preparing for the Economic Integration of Two Koreas: Policy Challenges to South Korea,” . In Economic Integration of the Korean Peninsula Edited by: Marcus , Noland . January , 257 Washington, DC : Institute for International Economics . in, ed., (p.
- Anne O. Krueger and Vernon W. Ruttan, “Assistance to Korea,” in A. O. Krueger, C. Michalopoulos and V. W. Ruttan, eds., Aid and Development (1989), p. 233.
- For more information, see Jung Sik Kim, On the Use of the Fund of the Claim to Japan in Asian Countries, KIEP's Official Pool of Regional Experts Series 00–09 (Seoul: KIEP, 2000) (in Korean); and Jiho Shin, Prospects for Japan-North Korean Economic Cooperation, KIEP's Official Pool of Regional Experts Series 00–05, (Seoul: KIEP, 2000) (in Korean).
- Mark E. Manyin, North Korea-Japan Relations: The Compensation/Reparation Issue, CRS Report for Congress (March 29, 2000).
- Ibid.
- Young, Lee and Zang, “Preparing for the Economic Integration of Two Koreas,” p. 256–57.
- Babson , See Bradley . “North Korea on the Brink: A World Bank Assessment,” in Suchan Chae, ed., North Korea Workshop Post Conference Volume (Houston: James A. Baker III Institute for Public Policy of Rice University, January 2000); and Bradley Babson and Eun Sook Kim, “Challenges in Expanding External Relations with North Korea,” paper presented at the University of California at Berkeley (April 2000).
- IMF membership is a prerequisite to receiving aid and loans from the World Bank. After gaining membership, North Korea will be required to report data on national and external accounts, prices, external debts, budget (including military), and monetary statistics. Furthermore, most developing member countries need to discuss and negotiate with the IMF and the World Bank medium-term policy frameworks and to accept IMF's surveillance procedures.
- Brazil was an exception to the extent that without agreeing to the IMF program it could receive debt relief from the Paris Club in 1986.
- At the ADB Annual Meeting held in May 1997 and the IMF/World Bank Joint Annual Meeting in September 1997, the South Korean government had also announced a position in support of North Korea's joining the IFIs.
- Six others nations are on the list: Cuba, Iran, Iraq, Libya, Sudan and Syria.
- The US eased sanctions on North Korea on June 19, 2000, in categories that fall under the Trading with the Enemy Act, the Export Administration Regulations, and the Defense Production Act. This easing of sanctions, however, does not affect counter-terrorism or nonproliferation controls on North Korea, which prohibit exports of military and sensitive dual-use items and most types of US assistance. Statutory restrictions, such as US missile sanctions, remain in place. Restrictions on North Korea based on multilateral arrangements also remain.
- David Coe, the IMF's former resident representative in Korea, said in a press conference in April 2000 that the IMF would provide technical assistance to North Korea with approval by major stakeholders.
- Although Vietnam did maintain its membership status, it had been treated virtually as a non-member state until 1993.
- Leipziger , Danny M. See, “Thinking About the World Bank and North Korea,” in Marcus Noland, ed., Economic Integration of the Korean Peninsula (Washington: Institute for International Economics, January 1988), pp. 201–19; and Bradley Babson, “Vietnam and North Korea: Challenges of Opening Up for Development,” mimeo (December 1999).
- For an excellent review of North Korea's non-governmental foreign contact, see Kyung-Ae Park, “North Korea's Non-Governmental Foreign Contacts,” Korean Journal of Defense Analysis, Vol. 12 (Winter 2000), pp. 33–51.
- A trust fund is a fund administered by the World Bank in accordance with the terms of an agreement with a donor.
- Richard Armitage also mentioned the possibility in a report before assuming his current position in the Bush administration. He wrote, “If the North takes the necessary steps, the United States, with its allies, should consider establishing a Korean reconstruction fund within the World Bank or Asian Development Bank.” See Richard L. Armitage, “A Comprehensive Approach to North Korea,” Institute for National Strategic Studies No. 159 (National Defense University Strategic Forum, March 1999).
- The magnitude of the financial assistance provided to the Palestinians from the international community, in a period of less than five years, is enormous given that the Palestinian authorities officially govern only two million people. Since the establishment of the Trust Fund in October 1993, total commitments from the World Bank, and additional assistance from the international donor amounted to as much as $670 million, of which $506 million had been disbursed as of August 1999. Moreover, the number does not include the bilateral assistance pledged by major donor countries, of $2.75 billion, from 1994 to 1998. See World Bank, “West Bank and Gaza Update: A Quarterly Publication of the West Bank and Gaza Resident Mission,” (Third Quarter 1999).
- For a succinct comparison of these two, see Thomas J. Hopkins, “Evaluation of the Roundtable Mechanism: A Participatory Approach,” (UNDP, 1998); Leelananda Silva, “Aid Coordination”, Discussion paper (UNDP, 1999); and UNDP, “The Roundtable Mechanism (RTM),” (November 1999).
- In general, a CG is closely linked to the World Bank's normal country work programs, while RTs and UNDP's country programs are at most times separated. Moreover, an RT's substantive work is carried out by outside experts, whereas CG preparation is done by World Bank in-house technical capacities.
- During the roundtable meeting in Geneva, North Korea presented an ambitious plan to double its agricultural production in three years, and requested grants totaling $300 million to complete that plan. See UNDP, “Thematic Roundtable Meeting on Agricultural Recovery and Environmental Protection in the Democratic People's Republic of Korea,” (1998). The second Roundtable was held in June 2000, when North Korea asked donors to provide $250 million for North Korea's agricultural development programs.
- The Korean Peninsula Energy Development Organization (KEDO) would be another example of a multilateral coordination mechanism, although restricted to helping the energy sector of North Korea.
- For advocating utilization of Japan's official development assistance funds by South Korean firms, see Yukiko Fukagawa, “Japan's Economic Assistance for the Democratic People's Republic of Korea: The Expected Policy and the Tasks for the Coordination with the Republic of Korea,” paper presented at the international conference on the ninth anniversary of the foundation of the Korea Institute for National Unification, Seoul (2000).
- 1990 . Debt Equity Conversions New York : United Nations Center on Transnational Corporations . The first countries for the scheme to employed were Bolivia and Costa Rica in mid-1987. In these cases, however, NGOs who were involved themselves financed the repurchases. See United Nations, (
- For details, Eliana A. Cardoso and Rudiger Dornbusch, “Foreign Private Capital Flows,” in H. Chenery and T. N. Srinivasan eds., Handbook of Development Economics, Vol. II (North Holland, 1989), p.1432.
- A pitfall of this scheme is that, once the donor's intention to repurchase the debt on the secondary market is known to market participants, the price goes up. Thus, the important point here is that the price at which the open buy-back is undertaken be set appropriately. This involves a comprehensive ex ante agreement with creditors to preclude free-riders on the matters. An extreme way of facilitating the open buy-back at an appropriately set price would be in the form of an announcement by the donors and the debtor country that they will not buy back, afterwards, any portion of the debts not purchased in the original buy-back offer. If credible, the donors would purchase all initial debt at any positive price offered, since the expected price of the remaining debt after the buy-back would be zero. Thus, successful international cooperation to this end is obviously crucial.
Korean Journal of Defense Analysis
Volume 14, 2002 - Issue 2