The Export-Import Bank of Korea (www.koreaexim.go.kr, Chairman Yong Hwan Kim, “Korea Eximbank”), the agency entrusted with the management of the Inter-Korean Cooperation Fund (IKCF), urged North Korea’s Chosun Trade Bank to repay the overdue principal on an IKCF food loan without any further delay.

Korea Eximbank had already notified to the North Korean bank in May 4 the repayment date (June 7, 2012) of the principal on the food loan. On June 8, immediately upon confirming Chosun Trade Bank’s payment delay, Korea Eximbank pressed its counterpart to repay the overdue principal. In a series of notifications since July 16, the bank urged Chosun Trade Bank to fulfill its obligation, to which the latter has not yet given any response.

The overdue payment notice given this time is the fourth following those in June 8, July 16 and September 27. A late payment interest of 2.0% per year will accrue to the amount overdue from the original payment date until the day before the actual payment, according to the terms and conditions of the food loan agreement.