Posted on : Nov.2,2006 20:51 KST Modified on : Nov.3,2006 22:01 KST

South Korean President Roh Moo-hyun said Thursday that his government will continuously try to maintain "friendly" relations with North Korea to safeguard peace on the Korean Peninsula.

In a meeting with top executives of foreign-invested firms here, the president said the South Korean people's sentiment towards North Korea is not favorable, but the North should not remain their enemy forever.

"The government will put its top policy priority on peace on the Korean Peninsula. Thus we will have to maintain friendly relations with North Korea in order to secure our freedom and stability," said the president.

Roh also said his government will keep making efforts for the abolition of North Korea's nuclear weapons program, but will ensure that such efforts would not lead to any armed conflict with the communist North.


The president also disclosed that South Korea will open free trade agreement negotiations with the European Union (EU)next year, while accelerating preparations for FTA talks with China.

"South Korea is determined to simultaneously push for a number of FTA deals. We aim to begin FTA negotiations with the EU next year. We'll also prepare for the launch of FTA talks with China next year or later," Roh said.

He said his government will continue to improve South Korea's business environment for foreign investors by accelerating reform efforts particularly in four fields -- financial markets, private corporations, the public sector and labor-management relations.

"Labor market flexibility and deregulation will be further increased and the government's intervention in the nation's financial market system has already been terminated. We will continue to expand investments in information technology infrastructure."

Roh met with the foreign business executives as part of the "Foreign Investment Festival 2006," organized by the state-run Korea Trade-Investment Promotion Agency, or KOTRA.

Throughout his 30-minute address, the president tried to ease foreign executives' concern about North Korea's nuclear crisis caused by the communist country's nuclear test on Oct. 9. "We want peace, and have the will, as well as the capability, to keep peace. Peace is broken only when the military equilibrium is destroyed," said the president.

"Despite North Korea's nuclear test and further development of nuclear weapons, the military balance on the Korean Peninsula will not be destroyed. South Korea will continue maintaining the balance through its solid alliance with the U.S."

Roh then asserted that South Korea's engagement policy towards the North seems to have dated back to the days of former President Roh Tae-woo, who pushed ahead with an initiative to improve diplomatic relations with China and Russia during his presidency from 1988 to 1993.

"A peace strategy (in relations with North Korea) is an unavoidable destiny for South Korea regardless of era and regime," the president said.

Seoul, Nov. 2 (Yonhap News)



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