N. Korea seems interested in developing DMZ as tourist destination

Creating a world peace park in the demilitarized zone (DMZ) bordering the two Koreas requires Pyongyang’s consent. Even if the South wants to create a park in the zone on its side, not the whole DMZ including the area that belongs to the North, it should still consult with the North.

It is because the North is a stakeholder of the Military Armistice Commission, which manages the DMZ under the Armistice Treaty. Pyongyang took a negative stance when South Korean Park Geun-hye announced her initiative to build a world peace park in the DMZ in early May. The North`s state-run media outlet Uriminzokkiri criticized, saying, "Attracting foreign tourists to the military border line, the symbol of hatred between the same people will only propagate the people’s tragedy.” It is reported that North Korea is also interested in the economic effect of the DMZ development.

Back in the Kim Dae-jung and Roh Moo-hyun administrations, North Korea had been uninterested in South Korea`s proposal to create an ecological peace park. Though former President Roh said that we can make large revenues if the two Koreas cooperate by withdrawing heavy weapons and protecting natural resources such as building a peace ecological park in the DMZ, then North Korea’s leader Kim Jong Il did not respond to the offer, according to the records of the 2007 inter-Korean summit.

Sources say that Pyongyang is quite interested in developing the DMZ as a tourist destination. “North Korea has been interested in developing a DMZ park since early 2000s,” a key North Korea source said. “It may not be able to respond to the offer immediately because resuming the business in the Kaesong Industrial Complex is more urgent. Once the issue is addressed, however, the North might become more aggressive in developing the DMZ.”

A source from the South Korean ruling party said, “I heard that North Korea proposed a project to develop an ecological park in the DMZ to a South Korean company early this year. The North also thinks it could be a good opportunity to attract foreign capital.” The source also said North Korea showed interests when Ted Turner, CNN founder and head of the Turner Foundation, proposed the ecological protection and peaceful uses of the DMZ to North Korean high-ranking officials during his visit to the North in 2005.

Sources say that as they did for the Kaesong Industrial Park project, the North Korean military against touching the demilitarized zone and the North Korean cabinet, which is interested in economic development and attracting foreign capital, are highly likely to be at logger heads over the proposed world peace park. Given such circumstances, North Korean leader Kim Jong Un’s decision is critical, which aggressive persuading by Beijing and the U.N must be desperately needed.

The most important tool to engage North Korea to the world peace park project is money. If the park is developed, North Korea will have infrastructure and facilities in the northern side of the DMZ and foreign capital will flow in, which will definitely help North Korea’s economy. In addition, the North and the South can split the revenue from the park.

On the security front, however, it could be a double-edged sword because the world peace park can not only act as a safety valve for North Korea but also trigger the waves of reform and openness at the same time. The North seems to be against the initiative, which involves the world such as the United Nations mentioning the “intervention of foreigners,” just as it opposed the globalization of the Kaesong Industrial Complex because of the latter reason.

If the South creates a park with the U.N. in the DMZ, North Korea risk can be reduced because the North will feel an increased burden of attack on the South. But some critics can argue that cash flows to the North from the tourist project could indirectly finance its nuclear programs.

“The world peace park initiative has more meaning in easing tensions and bringing peace on the Korean Peninsula than inter-Korean economic cooperation,” said a source from the presidential office. “Even if a peace park is created, denuclearization of North Korea must be our top priority without fail.”

While Pyongyang might prefer working with a private South Korean company as it did for the Kaesong Industrial Complex and the Mt. Kumgang projects, the Park Geun-hye administration is firm in its stance that it will seek a project directly involved the two governments. A South Korean high-ranking official said, “As the world peace park is about penetrating the militarized zone between the two countries in a technical state of war, it is not a matter that the private sector can handle.”