3.1% Increase in Inter-Korean Cooperation Fund to 1.24 Trillion KRW... Preparations for Health Care and Agriculture-Livestock Cooperation

Ministry of Unification's Budget Proposal for Next Year

North Korean State Affairs Commission Chairman Kim Jong Un held a Workers' Party Political Bureau meeting on the 25th of last month to discuss measures against typhoons and the spread of the novel coronavirus (COVID-19), the Workers' Party's official newspaper Rodong Sinmun reported on the 26th.

The government has allocated the Inter-Korean Cooperation Fund for 2021 at 1.24 trillion won, an increase of 3.1% compared to this year. The plan is to prepare for cooperation in the health and medical fields amid the COVID-19 pandemic while also preparing to restore inter-Korean dialogue and exchange cooperation.

On the 1st, the Ministry of Unification announced that it has prepared the 2021 budget totaling 1.4607 trillion won, including 217.4 billion won from the general account and 1.2433 trillion won from the Inter-Korean Cooperation Fund.

The Inter-Korean Cooperation Fund increased by 37.7 billion won compared to this year's 1.0256 trillion won.

The Ministry of Unification explained the reason for the increase in project expenses as "due to the increase in cooperation in health and medical fields between the two Koreas in preparation for disasters such as COVID-19, as well as cooperation in livestock and agricultural quarantine."

Projects with increased budgets include flood prevention for shared rivers between the two Koreas (600 million won → 6.5 billion won), health and medical cooperation including COVID-19 (58.5 billion won → 95.5 billion won), and cooperation in agriculture, livestock, forestry, and environment (304.5 billion won → 329.5 billion won).

Additionally, 3.27 billion won has been allocated to create a 'Peaceful Unification Cultural Space' in border areas as part of the Demilitarized Zone (DMZ) peace zone project.

However, since the Inter-Korean Cooperation Fund is a budget used as needed when projects arise, the actual amount that can be spent depends on changes in inter-Korean relations.

The general account budget for next year slightly decreased compared to this year's 218.6 billion won.

The largest decrease in project expenses was 2.9 billion won, and the Ministry of Unification explained that "the main reason is the reduction in settlement funds due to a decrease in the number of North Korean defectors entering the country."

The Ministry of Unification expects that the number of North Korean defectors entering via China will decrease by 67% compared to the previous year due to the COVID-19 spread effectively blocking defector routes.

Among the project budgets, the budget related to support for the settlement of North Korean defectors was 97.6 billion won, accounting for 63.6% of the total.

The budget for projects supporting exchange cooperation counseling and unification education programs by additionally establishing 'Unification Plus Centers' in local governments increased from 450 million won this year to 3.38 billion won next year.

The Ministry of Unification plans to start with centers in Incheon and Honam and gradually expand the projects in subsequent phases.

Also, the 'Unification Walk' event, personally conducted by Minister Lee In-young since 2017, has been incorporated as a Ministry of Unification project under the name 'Peace Road Unification Walk,' which involves walking near border areas, with a new budget of 1 billion won allocated.

Employment incentives, seniority bonuses, and single-parent bonuses supporting the self-reliance of North Korean defectors have been increased by 400,000 to 800,000 won.

The Ministry of Unification explained the general budget allocation as focusing on "promoting participation of local governments and the private sector and revitalizing popular peace and unification movements."

This content was produced with the assistance of AI translation services.