By Kim Bo-eun
The Moon Jae-in government increased the size of its inter-Korean affairs fund for next year by 14.3 percent, according to the unification ministry's budget plans.
The fund for next year is 1.1 trillion won, up from 964 billion won this year.
The increase reflects inter-Korean exchanges that have been stepped up after leaders of the South and North held a summit in April.
"The ministry's budget for 2019 was drawn up to focus on carrying out the Panmunjeom Declaration," a unification ministry official said. The declaration is a set of agreements reached at the summit.
The fund is set to cover costs related to fulfilling these, such as holding separated family reunions and connecting and modernizing railways and roads.
The amount allocated for family reunions has been increased to 33.6 billion won from 1.2 billion won this year. This is based on plans to enable six reunions next year and three occasions of visits to hometowns.
A total of 504 billion won has been allocated for inter-Korean economic cooperation including rail and road projects and reforestation in the North. The figure is up from 344 billion won for economic cooperation this year.
However, the ministry official noted that because talks are ongoing between the Koreas on projects involving railways and roads, the budgets for these projects will be determined at a later time.
"Projects that may go against sanctions on the North will be carried out only when the circumstances are right, according to negotiations over North Korea's denuclearization," the official said.
Meanwhile, the ministry reduced the amount allocated for food aid by 13.2 million won, which covers 200,000 tons.
"Budgets were drawn up for 300,000 tons of food aid each year, but these funds were hardly used," the official said. The ministry has reduced the amount of food aid by 100,000 tons.
The inter-Korean affairs fund is comprised of government and private sector contributions.
The ministry's budget excluding the inter-Korean affairs fund has been reduced slightly. The reduction involves expenditure cuts for a North Korea human rights foundation and resettlement provisions for North Korean defectors.
Project funds for the North Korea human rights foundation were cut, as the ministry ended a rental contract for the foundation's office. The rental contract was signed in September 2016 when the law on North Korean human rights was established.
The ministry decided to end the rental contract in June as the foundation's launch continues to be delayed due to what it cites as problems concerning the makeup of board members. The ministry has denied that the delay in the foundation's launch was related to the current detente between the Koreas.
The budget for settlement provisions for North Korean defectors has also been cut as the number of defectors coming to the South has continued to fall in recent years.
The ministry's budget will be finalized in December.
The Moon Jae-in government increased the size of its inter-Korean affairs fund for next year by 14.3 percent, according to the unification ministry's budget plans.
The fund for next year is 1.1 trillion won, up from 964 billion won this year.
The increase reflects inter-Korean exchanges that have been stepped up after leaders of the South and North held a summit in April.
"The ministry's budget for 2019 was drawn up to focus on carrying out the Panmunjeom Declaration," a unification ministry official said. The declaration is a set of agreements reached at the summit.
The fund is set to cover costs related to fulfilling these, such as holding separated family reunions and connecting and modernizing railways and roads.
The amount allocated for family reunions has been increased to 33.6 billion won from 1.2 billion won this year. This is based on plans to enable six reunions next year and three occasions of visits to hometowns.
A total of 504 billion won has been allocated for inter-Korean economic cooperation including rail and road projects and reforestation in the North. The figure is up from 344 billion won for economic cooperation this year.
However, the ministry official noted that because talks are ongoing between the Koreas on projects involving railways and roads, the budgets for these projects will be determined at a later time.
"Projects that may go against sanctions on the North will be carried out only when the circumstances are right, according to negotiations over North Korea's denuclearization," the official said.
Meanwhile, the ministry reduced the amount allocated for food aid by 13.2 million won, which covers 200,000 tons.
"Budgets were drawn up for 300,000 tons of food aid each year, but these funds were hardly used," the official said. The ministry has reduced the amount of food aid by 100,000 tons.
The inter-Korean affairs fund is comprised of government and private sector contributions.
The ministry's budget excluding the inter-Korean affairs fund has been reduced slightly. The reduction involves expenditure cuts for a North Korea human rights foundation and resettlement provisions for North Korean defectors.
Project funds for the North Korea human rights foundation were cut, as the ministry ended a rental contract for the foundation's office. The rental contract was signed in September 2016 when the law on North Korean human rights was established.
The ministry decided to end the rental contract in June as the foundation's launch continues to be delayed due to what it cites as problems concerning the makeup of board members. The ministry has denied that the delay in the foundation's launch was related to the current detente between the Koreas.
The budget for settlement provisions for North Korean defectors has also been cut as the number of defectors coming to the South has continued to fall in recent years.
The ministry's budget will be finalized in December.
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