WASHINGTON, Jan. 18 (UPI) -- Economic disparities between North and South make Korean unification a long-term project, says a former South Korean minister.
Speaking in Washington Tuesday, Jae Kyu Park, minister of Unification in the Kim Dae Jung administration, said South Korea's per capita gross domestic product was $14,000 a year, while North Korea claimed a figure of $800-$900. He said the actual figure was probably half that or less.
"Realistically the ratio should be between three and four to one," said Park, before economic integration was attempted. "Currently it is between 30 and 40 to one."
The economic reforms of July 2002, involving some price liberalization, were now on hold, he said, as they had resulted in hyperinflation. This, in turn, created a new class of urban poor who suffered from a growing gap with the rich. Crime and corruption were on the rise, sparking government concern over social stability.
Park said the North Koreans had two major goals: regime security and economic development.
"The development goal has been scaled down to the more realistic one of survival," he added.
