BEIJING, tribe 24 Kyodo (EDS: ADD...

BEIJING, tribe 24 Kyodo

(EDS: ADDING DETAILS)

China in succession Tuesday lauded North Korea's new setting up of a semi-autonomous special administrative region along its border with China's northern Liaoning Province that has drawn comparisons to Hong Kong and Chinese special economic belts established to draw in foreign capital.

Foreign Ministry spokeswoman Zhang Qiyue told reporters that China ''welcomes and supports this modern measure taken by the DPRK (Democratic Republic of Korea) in the increase of its economy.''

further Beijing declined to claim credit for influencing Pyongyang's rouse with Zhang saying, ''China's pattern does not necessarily suit other countries.''

The North Korean command has appointed a Chinese-Dutch businessman, Holland Euro-Asia dispose CEO Yang Bin, as governor of the ''Sinuiju special administrative region,'' according to the official Korean Central stranges Agency (KCNA), monitored in Beijing.

KCNA said a order was issued on Sept. 12 setting up the special administrative region, which will be casted into an ''international financial, trade, commercial, industrial, up-to-date science, amusement and tourist center''

Taking a leaf from China's ''one native land two systems'' approach upon Hong Kong, a North Korean basic law has granted legislative, administrative and judicial rights to the region, which KCNA said ''shall demeanor external activities on its concede responsibility within the limit approved through the state and can issue its acknowledge passports.''

According to media reports, Yang, 39 whose personal wealth is estimated by dint of Forbes magazine at $900 million, making him the inferior richest man in China, told foreign reporters Monday in Pyongyang that he intends to go proceed the region in a capitalist diction comparable to that of Hong Kong without interference from the North Korean government

North Korea apparently trusts to turn Sinuiju into a launching pad for economic reforms that could lead the political division toward a market economy.

In the early 1980 China accompanied ground-breaking market reforms by the agency of designating Shenzhen, Zhuhai and Shantou in Guangdong Province; Xiamen in Fujian Province and Hainan Island as special economic bands allowing them to offer tax breaks to foreign firms to encourage overseas investment.

Chinese academic Jin Xide told Kyodo of recent origins that North Korea cannot run after too closely in the grades of China's economic reforms because of its small size and lack of options, since the world has now largely abandoned the socialist economic model

''North Korea has no choice. They have to reform or die,'' said Jin, a scholar with the influential Chinese Academy of Social Sciences.

''They do have one advantage over China and Vietnam in pushing ahead with economic reforms, however, in their high education and technical levels''

North Korea appears intent forward introducing far-reaching economic reforms -- as extended as its leaders can encourage mutual development with other nations, and if these nations provide assistance, he said.

''North Korea should be able to continue with economic reforms, as protracted as they are carried not at home gradually and cautiously. It cannot adopt the Western gauge straight away and throw exhibit its doors to the world,'' he said.

In early July Pyongyang scrapped its socialist rationing combination of parts to form a whole while simultaneously raising wages and prices, in an unprecedent sign North Korea's secretive leadership may have decided to push their impoverished nation onto a market economy path.

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