North Korea waives visa requirements

Here is an article posted by the Korea Herald which addresses a recent decision by NK to waive the visa requirement at the new economic zone.

06-07-2012 22:02     NK waives visa requirement at new economic zone

By Kim Young-jin North Korea will provide foreigners visa-free access to a new economic zone on its border with China, Pyongyang’s state media announced Thursday. The two countries broke ground on the zone, located on two islands in the estuary of the Amnok (Yalu) River, last year. Foreigners with their vehicles are allowed to enter the zone along a designated route without a visa after presenting their passport or equivalent document," the official Korean Central News Agency said. Pyongyang in recent years has been seeking to attract foreign investment, including though economic zones to bout its struggling economy. The sides opened the Hwanggumphyong-Wihwado Economic Zone after a trip to China by late North Korean leader Kim Jong-il. Special considerations on tariffs and taxes will be given to foreign investors under a special investment law and there will be no customs duties on materials brought into the zone, KCNA said. Recent visitors to the North is rapidly developing infrastructure around its special economic zone at Rason in the northeast, which China and Russia are expected to utilize to ship materials through. The opening of the new zone was seen as part of Beijing’s efforts to urge the North to follow its path of reform. One of the steps it has taken — though it remains to be seen how effectively these will be implemented — has been to amend a series of investment laws and laws regarding special economic zones. New leader Kim Jong-un, who was handed power after the death of Kim Jong-il, his father, is working to improve and economy struggling to feed its population of 24 million, despite the introduction of a fledgling market system. Profit sources exist with hybrid enterprises run by party or military figures with monopolies on trade and natural resources, but traditional state enterprises have long been stuck in the mud. Some observers say Pyongyang may be wary of opening its economy too quickly as the increased information flow could pose a threat to its reclusive system.

leeth@koreatimes.co.kr