Tuesday, June 05, 2007

Russia to help unfreeze North Korean funds

A news article from today described how Russia is going to try to help unfreeze $25 million of North Korean funds, as long as the United States promises there will be no sanctions for Russia if it does so.

Apparently, when the U.S. froze North Korea's funds in the first part of the year to speed up the nuclear disarmament process, it ran into a speed bump because the US was unable to figure out how to unfreeze the funds, and therefore asked Russia for help in finding a solution. Is this even possible? One would think that if you could freeze someone's accounts, you could just lift the ban, or at least know how to! My question is, why would the Russians be scared of sanctions if the US had asked them for help? Something seems a bit shady to me! Of course, the idea that Russia was the first to be able to help is a little humorous too, seeing how they started the communist revolution in the first place in NK! And what will these funds be used for? Will it help the people at all? One would hope so!


Christina Sin said...

I honestly doubt if these funds would really help the people. Kim Jong-Il would probably get another villa or mansion that he never visits. Or if there would be any funds allocated for the people, I think it would probably be used only for the capital so that they could continue to have this facade.

Eunmi said...

I doubt about Russia's offer for help will solve this problem because Russia is not the only and first country who volunteered. At the end of May, Indonesia gave the same offer but it was declined by the U.S.A. Instead, the US envoy Christopher Hill planned to insist China. I am curious about intention of the US.
About your question why Russia was scared of sanction, I think it is same as why China resists. When the US blacklisted BDA first, the US warned others not helping the North Korean banking, otherwise whoever helped will be investigated(?)