Inter-Korean exchange and cooperation

The Inter-Korean exchange and cooperation (남북교류협력/南北交流協力) usually flourishes when the Inter-Korean relations is in high gear. Among others, the following events and incidents are believed to contribute to the Inter-Korean exchange and cooperation:
 * Occasional family reunion meetings of family members separated between the North and the South;
 * Inter-Korean summit meetings in 2000 and 2007;
 * Inter-Korean Economic Cooperation Agreements, though not effective;
 * South Korean investors' participation in the special economic zones in North Korea including the Gaeseong Industrial Complex; and
 * South Korea's generous grant of necessities, food and drugs when the North Korean citizens were in great need.

Key words
Inter-Korean cooperation, Inter-Korean agreement, special economic zone

Legal aspects of the Inter-Korean relations
Further to the Inter-Korean agreements and the Act on the Advancement of the North-South Relations (남북관계 발전에 관한 법률, Act No. 7763 Enacted on December 29, 2005 and Effective from June 30, 2006), the Inter-Korean relations shall be regulated by the following statutes:

Inter-Korean Exchange and Cooperation Act
The Inter-Korean Exchange and Cooperation Act (남북교류협력법) came into force on August 1, 1990 (Act No. 4239) to promote the mutual exchange and cooperation between the North and the South. Thereafter the Act was amended seven times, almost every other year.

It should be noted that the Act was made unilaterally by the South Korean government to prepare in advance for the impending Inter-Korean economic cooperation. In the early 1990s, the South Korean government started to officially approve its citizens' visit to North Korea and meetings with North Korean people. So the Act contained the detailed provisions on procedures for such visits, meetings, and other exchange and cooperation with North Korea. In particular, the Act is intended to preempt other laws and regulations with regard to North Korea and unification.

The legal nature of the Act is as follows:
 * It is a basic law on the Inter-Korean exchange and cooperation for the promotion of the relation between the North and South, and provides for various subsidies and grants;
 * It regulates the official procedures on the Inter-Korean exchange and cooperation; and
 * Its provisions are comprehensive and transitional in view of the current developments of the Inter-Korean relations and the long-cherished unification of two Koreas.

The Act has 30 articles in total, including general provisions like Purpose, Definitions (Arts. 1-3), the Inter-Korean Exchange and Cooperation Committee (Arts. 4-8), Visits to the North and South (Arts. 9-11), Trade in Goods (Arts. 12-15), Cooperative Projects (Arts. 16-18), Payment Systems, Transportation, Communication and Quarantine Affairs (Arts. 19-23) and miscellaneous provisions on administrative support, demand for official cooperation and mutatis mutandis clause (Arts. 24-26). Finally, the Act has a constructive clause to recognize the North Korean citizen (Art. 30).

In addition, there are a number of ordinances and guidelines to implement the Inter-Korean Exchange and Cooperation Act. The administrative regulations have been established within the purview of the Inter-Korean Exchange and Cooperation Act as follows:
 * Regarding Citizens' Visit and Traveling;
 * Regarding Trade and Transportation of Goods; and
 * Regarding the Inter-Korean Cooperative Works;

Inter-Korean Cooperation Fund Act
The Inter-Korean Cooperation Fund Act (남북협력기금법) was established in August 1990 to assist the economic cooperation and social and cultural exchange between the two Koreas which promote the purpose of the Inter-Korean Exchange and Cooperation Act.

Under the Act, the South Korean government is required to raise the fund by means of government contributions, long-term borrowings, deposit by the public capital management fund, earnings and revenues generated out of the Fund, and other sources of fund.

The Inter-Korean Cooperation Fund has ben entrusted to, and operated by, the Korea Eximbank since March 1991.