Inter-Korean trade drops 10% last year

Trade between South and North Korea reached $1.71 billion last year, down 10 percent from 2010, government data showed Saturday.

The data was posted on the Web site of the Korean International Trade Association.

The decline comes as South Korea banned most of new investment in North Korea under its sanctions imposed over the North's sinking of a South Korean warship in March 2010.

Despite lingering tensions, the two divided Koreas continue to maintain their joint industrial complex in the North's western border city of Kaesong, which serves as a key legitimate cash cow for the North. (Yonhap)