BBC News Online: World: Asia-Pacific

South Korea could stop aid to North

South Korean news reports say that the government could halt financial aid to the North if its leader, Kim Jong-il, fails to keep his promise to visit the South.

Following last year's summit in Pyongyang between the two leaders, the South allocated several hundred million dollars to promote inter-Korean exchanges.

But these were suspended in March when Washington announced its policy review towards the North.

Although the exchanges have since resumed, the North has ignored several calls by the South to announce a date for the visit by Mr Kim.

The BBC Seoul correspondent says there is growing feeling that South Korea's sunshine policy of engaging the North has been too one-sided and too costly.

From the newsroom of the BBC World Service