Daily Report

East Asia FBIS-EAS-88- 174 CONTENTS 8 September 1988 NORTHEAST ASIA Japan DPRK Sanctions To Remain Durtitg Olympics .................cccecesseceeeeesseeeceseeeeceeeeceeeeeeeeeeeeeeeesseeeseeeeeeeeeeeess l Sanctions Against DPRK Reaffirmed ooo... ceceececceeesseeeeeeeseeeeeeeeeeeseneeeeeeeeesseeeesensesseseeeeeeeeeers l JSP Delegation To Meet DPRK’s HO Tam ..........cccecesecssessesseseeeseeeeseeeeceneeeeceeeesseeeceneeeeeeeeeaseaseaseeneeseeeees l Tokai Bank Predicts U.S. Pressure To Continue 000............ccccccceseccesesseeeceeeeeeececeeeeeeeseeeeeeeseeeeseeceneeesesesenes 2 Embassy in Moscow Protests Fishing Incident 0..............:cccccsecsssecessseeeeeeseeseeeeeeeeesesseeeeseenesceseesseaeseeeenenss 2 Kansai Firms Withdraw Employees From Burma .................::cccccsesssseseeseeeeececeeceeeecs veeeeeeeseeeeeseeeeeeeeeeeeees 2 Embassy To Urge Residents To Leave Burma ................cccccccssseceesssreceeeseeeeeeeseeecesseeeeceeseeeesseeeseeeseeeeeeees 2 Envoy Advises Residents To Leave ............ccccccoccsssorsssssssessovesssssesscssssessvccossosvcsseseveessssosserossoossesessoes 3 Mongolia Sodnom, Delegation Depart for DPRK Celebration 20..............ccccccccccseeeeeeeeeeeeeseeeeeeesseeeeessceseseseeseeseeseeees 3 Lao Prime Minister Greets Batmonh From Plane. ....................:0.000000+ aa ae ees ae ee See 3 Balhaajab Receives Czechoslovak Jourmalist ..................cccccscesssecesesseeeeessesereeeeeeseeseeceeeeseceaceesseessaseeeceeeeees 3 Balhaajab Receives Bulgarian Party Delegation .................cccscccsseeessseeeceeseeeseesseeceeesssecesseseseneeeeeseeseseeeees 3 Economic, Scientific Cooperation With Hungary ................:ccccssccsssecessseceeeeseeseeeeeeseeceseeceseeseeeasssneeseeeeees 3 North Korea Kim Il-song Speaks at National Founding Meeting. .....................::ccccccccssssseeeeeesseeceseeneeesceenseaceeeeeeeeeees 4 TT enn IDET nT a 4 Kim Il-song, Kim Chong-il Greeted by Foreigners ................cccccscccsssccesseceeeseseeeeceeeeeeeeeseeeesnsenseeeeseeeeees 10 Letters of Loyalty Conveyed to Kim [-SOng ...............ccccccsccsessecsseessecsscesseeeeeeeseeeesseseseeeeeeesteseeaseaeeeeeees 10 Chongnyon Leader Awarded Title of Labor Hero o..............cccccccccssescessseececeeeeeeeceseececeeesceceesseesesseeseeeees 11 Foreign Delegations, Officials Mark Anmiversary ...............:.cccccssccsesssceessescecceececeeeeeseceeessseeeseeesseeseeeeneees 11 KGB Chief Tours City /Moscow TASS] .......::.sccscsssssssssscsssesseessessesesseeesescccessesseceescsncseseessseasenseees 11 tC CTD CS | ccsscssesceseequssneseennuensentenequneneqsqnenneenesesetemeantbnenssenmesqannnuniabetannaniis 11 CITED sciscessssnnenmceuenennnnseauaanneneenneonemeuanpnnennnntesnneenennrennnanmnnnnbaeiraias 12 TTT cnscsnssccssnssssesenesmnsennnennineineneeetennnneunmnnensnemneenmmnmnanninennmentantin 12 SRT TED | sssncsssssnssennnecconsanenncumnensenensneasnneennebanarthanenenennaanaeenaebeennanaeneeneenenevet) 12 Atanasov Holds Talks With Yi Kum-m0 ou0...........ccccccccsscsseceeseceessscecceeceesseeeeeseeeeeeaeeeseeseeeesseeeeeees 12 SPCACID cnscssssssssssemmsntecmntinsenemmeemesnnemamnanmnennenennnaNne 13 Yi Kun-mo, GDR’s Stoph Begin Talks /East Berlin ADN] .............:cccssccssscessssssessesssseesenesceecenees 13 PPR (IED s:ccsnsssisssssssnnemussnasensneeeeennnasenieneennnpenensinnetengeeeneteNnEERNReNNNNeNEEN 14 Dale TE-OOMR NESSIS SIR YS MOOV ..........cccccccccocseccsssecssceccesecssecscccsssrecscsssscsssosscsscsssessessssesseesoseees 14 CT CRDCRTIID | «ncncssnssssemsnsgneseenemmnibnenneeueeneneieennenueiennnntnamamnmiamenunennidllni 14 Mojsov Presents Gift to Kim [-sOmg 2..............ccccccescessessesssceseceessececesseccccceceesceececeesesseeeesesesseeseees 15 8 15 DRI CE CEITEOCD | socasncssuncesesensrepoumensnerebensenessneestheeunensteneuentenemennneenennneneanenenennentan 15 Ra 15 SPECT | cxssssssenessvesereesimsenaeqnanssetinnnnmnestemnenntemnsenennanentmedanmennnmnmnantiet 15 RCD 11:1011ssscsssssssesnneninseaiessnieneinnnseunenemtenenenneneaaeinniennnatitneeL 16 SD CEE cnsscemessscenunsseenseemansnetsnqentencetpuniorssnnesengmentanenniatabennetaaetn 16 DEED CTTTTIED | ccscsssesenses. seenennnestnenterioueennnaseqeenenaedbanetennantnennsinasinmmaniaasiiannnsiti 16 PTE TTITTIED nscenssssencssesmnmmmensigneneggeneaminmpeietsermenanunamenetinenbiimammnenammnnnnatie 16 Burkinabe President Continues Visit /Ouagadougou] ............c..cccccscceescesseeseeseesescencssenenenencseecenes 16 SPUD (7CTIED scccsssssmenssqsesentundeennestsesebntbomemertpqientebineebeadantecbeannepenentataainmmumnanmetitt 16 PCED 2xs:sccsscetsssereenembensaatiathtieseenmubaienmpesenannenibenteninaniaiitianiaemmnianil 17 CAITR | :1:sssssssssnsssssssnesnnnsisnerssenstictepnnsiientsiieenimneiunmeneaiinemaeemnaiiteiih 17 Kim Il-song Greets Malagasy President .................:c.cccccsscescsesscesccesecceeeceesceceeseseeseseesseesseceeseeseeeces 17

FBIS-EAS-88-174

South Korea

SOUTHEAST ASIA Burma

8 September 1988 2 East Asia I iat iinet eatin itatilia iene: 17 EST ne ee TA SN 17 Ratsiraka Presents Gift to Kim [l-SOMg ..............::cccccseseeeseeeeseeeeeeesseesseeeeseseeeeteneeeseeeeeeeeeerseeensennsees 18 Ratsiraka Gives Gift to Kim Chongeil ...............:ccccccccesseseeeesseeesseeceeeseeeeeeseeseeeeeeeeeeeeeeeeereeeesensees 18 A ATER EN Ne 18 ence nrinieeeinianemnentnaiiianialniiaiianibiianniaatneeat 18 BATE LT RL TRENT SIE 18 ELL TT TED 18 cn nnn Lm T 19 ee 19 I a nr eats 19 necesita cienineeterimaenerteneeneineidiaainenseeemmneanadiaeiiaibiae 19 I LLL LLL LALLA LLL LLL LLL LALLA 19 ETL TE LT ED 19 EE Ee 20 Kim Il-song Greets Sao Tome-Principe President .................:cccssecceeseseeeseesseessesseeteceeeeeeeeeeeseeeeeseeeeeerenens 20 Talks With U.S. on Yongsan Relocation Hit Snag /THE KOREA TIMES 8 Sep] ...........:c0cs0sseeeseees 20 South Considers ‘Unilateral Admission’ tO UN o...........:.ccccccseseceeseeeeeseeeeceeeeseeeseseeeeeeeeeeseeeeeeeeeeeeeeenes 20 USSR’s Gramov, Athletes Arrive in Seoul o...............cccceccscesessceeseeeeeesseeeseceseeessesneeseeeeceeeeeeeeeeeeeeeeceeeesennes 21 Bulgarian Airliner Arrives With Athletes .0............:.cccccccscecsseeeeeseeeeesseeeeeeeseeeseeseseeeeeseeeseeeeeeeesenseeeeteeees 21

Trade Officials Accompany Athletes .................cccccscccessseeeessceessseesseesseessesneeeeensesseeeeeeeeeeeeseeeseeeenens 21 Iraqi Team Withdrawal Averted by IOC Decision /THE KOREA HERALD 8 Sep] ...........0s000000000: 22 Korean Air To Fly Over Soviet Airspace ...............ccccccessseeesseeeeeeeseeeeeeeeeeeseeesnseseeeeseeseeeeeeeeeeeeeeeeeeeeeeeens 22 Security Forces Deport 11 Foreigmers .............cccccsrssssscsescssessesssesevecsssssscssesssosesossorsssesesesesesesossesossooess 22 Police Dismisses Story of Terrorists in Seoul [THE KOREA HERALD 8 Sep] .........ccccc00ceceseseeeeeeees 23 Prosecution Vows Crackdown on Criminals /THE KOREA TIMES 8 Sep] ........:.::sccccessseessessesseesees 23 Repatriation Sought for Residents in PRC, USSR /THE KOREA TIMES 8 Sep] .........::00-s0+s0eecesee. 23 Joint Investment With PRC Shows ‘Slow Progress’ */THE KOREA TIMES 8 Sep] ..........00.00-+. 23 Trade Relations Board With Communists Set Up /THE KOREA TIMES 7 Sep] .........:cc0scccsseeeeeeees 24 Assembly Speaker on North-South Talks [NHK TV] .0.......:cccccccsscsssessseseesesssesensenenseeeeeeeeeeeeeseseneeseees 24 Korean Dependents in Rangoon Directed To Leave ...............:ccccccec: sssseeseeeseseesessenseseeeeeeeeeeeeneeeeeeeesees 25 DJP Publically Welcomes Chon’s Olympic Presence /THE KOREA TIMES 8 Sep] ...............-. 25

ND IID WIE cccsncersenssneenennemnerrerenemnnmncannennenneneneenmmnammensnnamansumpesreorensanmnnstenetenetnctene 25 Ad Hoc Cabinet Panels To Probe Chon ‘Scandals’ /THE KOREA TIMES 8 Sep] ..........::c0000seeeeeeoes 27 DJP Encourages Chon To Apologize .............ccccsccsscssesesscesseeeseseesseeesesenssenseessessssssesseseeseeeeseceeeeseeeseesseanes 27 Government Ignores Ultimatum From Protestors /AFP] .............c.:csssssssesseessssesseseeeeeerseeeereeteeseenseees 28

ED GED CUUIEE «= TD crecceccceccccsccccccnevcescosecovesccnscocsonsonsenssnsesnsoesoosssosonscsonsoonooosocseseee 28 Radio Reports Notification on Restricted Areas ..................ccccccesecseeeseeeseeeseeeseeeseseeseeeeeeeeeeeeseeseeeteesees 28 7 September Protest Situation Reported [AFP] .............cccccccccsescsessseeseessceesesesenesseeseeseeesseeeeeeseeeseneeeenens 29

RATED, GEER SID ceccccocessrssocccccecccecscccescenscoccsscocnosscocseoceconneoecsensonnoossscousnesnonesooaneecseoses 30

Further on Reported Looting /(KYODO] 0.0..........ccccccccccssccesssessseesseeeseesessesenseeeseeeeeeeneceeeeeseeeeeneees 30 People Asked To Seek Help From Forces, Police ................cccccccssseecesesseseesseeseecsseeeseesseeeeeeeeeeeeeeeseeeseens 31 ‘Thousands of Protesters’ Gather; Strike Begins /AFP] ..............:ccccccscssssesssesscescenseseeeeeeeeeeeeeeeeeseceneesens 31

Tension Said ‘Escalatingy (/KYODO] ................cccccccscccsscessceeesseseessecseeceeseseseneeeseeseseeeeneeseseseeeens 32

SOU GE GD BRIG cece rereerecececececccecerecrncccoonsccnsesensveneenansssscssenenonssossnssooononsessecoesees 33 Eight Embassies Make Evacuation Plans /AFP] ................:csccsssssesscesseeseessensnssseeseseneseneseeseeenseeetenseenens 33

Australian Envoy Interviewed /Melbourne] .............ccccccsccsscessessesseesesessesesensnseeeesenseeeeeeeeeseesenees 34 Embassy Staffers Resign From BSPP im Protest ..................c:ccccccccssssessseeseesneeseseseneeseeeteeeeeeeeerseeeeeeeeeenes 35

SE? GTI FRUIT ccsscosccccocsscncsseccoscesnesenesessecenensessontocnesnese covcnenssnsecqseauennenssssenscneunnenenses 35

SD GD RID BEDUMIIED —cocceugecccsceccnssesensnocosecerencesesecocesonsnesquesunsnessensenreneuanenesnenssesssoonsoneusees 35 Report on Interview With Aung San Suu Kyi /Melbourne] ...............cccccsccssessssessnsseeeeeeeeeeeeseeeeeeennens 35 Sacking of Refinery, Transport Workers Denied ....................... seupnnsunsunesngnnceneummmnangupebeapeniannannevtenens 36

Air Unit Support for Demonstrators “Not True” ....................ccccccccseceeesseeeessensseesseenseeeeeeeeeeeeeeeeceneeeeeeeeees 36

FBIS-EAS-88-174

8 September 1988 3 East Asia Yugoslav Leader Sends Message to Maung Maung ....................ccccccscceessessseeeeeeeeeeeeeeeeeeeeeeeeeeeeneeeneenes 36 Maung Maung Greets Brazil’s National Day. ...................:cccccsssssseseessseeeeeseeereeecseeeeeeereeeeeeeeeeeeneseeeseeeenees 36 Karen Leader Says Armed Struggle To Continue /BANGKOK POST 8 Sep] ......cccccccccccccecsecereeeeeeeeees 37

Brunei, Malaysia & Singapore Malaysia i renee eariaearrnetenerreneemte 37 Tanzanian Vice President Begins 3-Day Visit .................cccccccceeseeeeeseeeerseeeeeeeeeeneeeeeeeeeeeeeeeeneeeeeneeensnenes 37 itn etait indienne tienen 37 Singapore Lee Kuan Yew Meets Visiting Defense Mimisters .....................c0ccccesseccceesseeeeseeesseeeeeeeeeeeeeeeeeeeeeeeeeecneeenes 38 Cambodia Tie Banh Greets SRV Counterpart Le Duc Anh oo..........cccccccccccccceesssceesseeesseestensneeeeeeeeeeeseeeeneeeeeeeeneeens 38 Men Sam-an Meets Vietnamese Institute Delegates ...................ccccccccescesseseeseeeneeeeeeees wineseseene 38 I ET 39 SPK Criticizes PRC Stance on Cambodian Issue .................ccccccescceeeseeesseesseeseeneeeeeeeeneeeeeeeeeeserscennennens 39 Sihanouk Leaves Bangkok for ASEAN Tour [VOK] o..........cccccccccccccsscessessesseeseesseensneeeeeeeeeeeeeeeeecesenenees 40 Khieu Samphan Greets Malaysian Foreign Minister /VONADK] ............cccccccccccseeeeeeesseesseeeeeneeenes 40 Ranariddh’s Message on ANS Anniversary [VOK] .............cccccccccccessceesseeseeeseeseeeneeeeeeeeeeeesaeeeeneeeesneeneens 4 Guerrillas Attack SRV Police in Siem Reap /VONADKY] 2..........cccccccccecscssessesseeseeneeneeeeeeeneeeesecenoneneones 42 , Laos Resumption of Talks Said ‘Vitally Important’ ...............0......cccccccceccesseceeseesseenseeeeeeeeeeeeeeeeseesegeneeesennoens 42 Sali Vongkhamisao Attends SRV Band Performance ....................ccccccccsceeseeseesseeeseeeeeeeeeeeeeeerseeenenees 43 Sali Vongkhamsao at DPRK National Day Meet o.....................ccccccccessceessesseeseeesseeeeeneeeeeeeeeeeeeeseeeneeenees 43 Paper Urges Good Preparations for Election ..................ccccccccccccceeesseceeeesseeesseeeseceeeeeeeeeeeeeeeeceneseneneeenes 44 Philippines Senators Said Not Informed About Bases Talks /THE MANILA CHRONICLE 6 Sep] ..............00+- 45 Report on Aquino’s Weekly Radio Progra. .......................cccccccssccssccesssccesssccssssnccsssessssscccsssssesessssesesees 46 Aquino Plans No Cabinet Revamp, Issues Warming ....................c...ccccccccescceseeeeeeeeeeeees seeeeseeeeeeennes 47 FBI Report Received on Treasure Firm /PHILIPPINE DAILY GLOBE 7 Sep] .............cccccccc00e000000 48 emeee TO Enitinte Prmmnewtiem GF Amie TAR ............00cccccccccccccccccscccccccccscscsccscocsccscosscescsesscssoccsssoscsseesees 48 Ramos on Returning Police Comtrol 10 Mayors .....................0ccccccccceeeeseeeesseesseesseeeeeeceeeees sence susteeseeeneees 48 I OUI | 111110110 sssssssensntsneneeeneneennenanuneineneneennaunrenennnnnin 49 a 50 Column on Sison’s Videotaped Message /BUSINESS WORLD 8 Sep] ..0.....00..00.0.00000ccc00cceeeeesseeeeeenees 50 Army Sets Targets To Win Back NPA Barangays .....................0cccccccceccseceescesseesseeeeeeeeeeeeeecesereeseeeeeeeneees 51 Thailand Chatchai Receives U.S. UN Ambassador Walters ...........0........ccccccccccccccceecsceessceeseeeeeeeeeeeneeeeeeseeeeeseenees 51 i , etttenaenecnseeatenceeneneeneneneeenteeaernesaraamnnnnennsnenntanneeeniite 51 Sitthi Meets PRC Vice Foreign Minister (ZHONG HUA RIBAO 8 Sep] o.............0..-.000.0.0eeeeeeeeeeeeees 52 Government To Evacuate Nationals From: Bereine . ....................ccccccccsccssscesscssessevssccccccccccccccssssssssssseseess 52 Chatchai Chairs First Monthly News Comferemoe ......................cccccccccccsssessssscscsscssesccssencescncccscscesssseseeees §2 Vietnam 26 Jailed for Attempt To Overthrow Government [AFP] ...................cccccccsscesseeeseeeeeeeceecneceeeceeeseseenee 53 TN 53 VFF Secretariat Discusses Draft Compress Report ......................0cccceocceresssersereoresccennccecescssesesesssnsenssses 53

Army Journal on Withdrawal From PRK TAP CHI Ql OC PHONG TOAN DAN Jul] .0.......00000. 54

FBIS-EAS-88-174 , 8 September 1988 4 East Asia I EET 56 ines un I, IE, OE IEE. OSD SP POURS SESE ORDSROEDRRNORROSSEERESEEESESS 56 PRC, DPRK, Others Send National Day Greetings. ...............:.:cscsssscesssesesseseeesesseesessnsesssceseerenenees 57 ET eT 58 Treaty Ratification Exchanged With Afghanistan ...................ccccccccssescesseeseeeeeesseeeeeeseeeeeeeeeeseseeeeeeeeeeeees 58 Officials Discuss Hoa Binh Project With Soviets .................cccccccccessessspeeeeeeeeeeeesseeeeeeeeeeeeeeen seemmenniaiie . 59 Ha Bac Province To Promote Production, Busimess ................cccccccseceseeseeeeeeeeeeeeeeenseeseeeeeeeeeeeeeeeenes 59 AUSTRALASIA Australia Beazley Pledges Peacekeeping Troops for Namibia .................cccccccsceseesseceeesseeeeeeeceeeeeeeeeeeeeeeeeeeeeeeeeeees 60 Fiji Rabuka Holds News Conference on Arms Smuggling ...............c:ccccccccceesseeceseeeeeeee sceeeeeseseeeeeeeneeeeeees 60 New Zealand

Communications Agreement Reached With Australia /AFP] .............:cccccccssssessseeseseeseeseeeeneneneeeees 60

FBIS-EAS-88-174 8 September 198%

Japan

DPRK Sanctions To Remain During Olympics OW0709121288 Tokyo KYODO in English 0803 GMT

7 Sep 88

[Text] Tokyo, Sept. 7 KYODO—Chief Cabinet Secre- tary Keizo Obuchi again denied a press report on Wednesday that the Japanese Government will lift sanc- tions against North Korea before the Seoul Olympic games open on September 17.

The chief government spokesman told a regular press conference that the government has not changed its policy of reviewing the sanctions after the Olympics

ends.

Sanctions DPRK Reaffirmed OW0809080688 Tokyo KYODO in English 0754 GMT 8 Sep 88

[Text] Tokyo, Sept. 8 KYODO—Chief Cabinet Secre- tary Keizo Obuchi denied on Thursday that the Japanese Government will lift a package of sanctions against North Korea before the September |7 opening of the Seoul Olympics.

Obuchi added, however, that the government is weil aware of changes on the Korean peninsula, as seen in President No Tae-u's statement on July 7 calling for the promotion of inter-Korean ties.

Blaming North Korea for the loss of a South Korean airliner with 115 people aboard last November, Japan imposed sanctions on January 26 restricting personel exchanges between Japan and North Korea.

South Korea's YONHAP News Agency reported on Tuesday that Japan has told South Korea it will lift the sanctions before the games.

Obuchi, in whose name the Japanese Government imposed the sanctions, was responding to an opposition questioner at a session of the House of Representatives’ Cabinet Committee.

Asked if Japan will allow a high-level North Korean official to enter Japan as called for by the Japan Socialist Party, Obuchi failed to reply directly, only saying that the government would study the matter after such an application was filed.

Meanwhile, Foreign Minister Sosuke Uno, who attend the same session, said he will take dynamic steps to improve relations with the Soviet Union.

Uno told the Cabinet Committec that he will meet Soviet Foreign Minister Eduard Shevardnadze while attending the United Nations General Assembly session in late September.

NORTHEAST ASIA 1

Shevardnadze will also come to Tokyo in December, he said.

JSP Delegation To Meet DPRK's Ho Tam OW080903 1788 Tokyo KYODO in English 0154 GMT 8 Sep 88

{Text} Tokyo, Sept. 8 KYODO—Tsuruo Yamaguchi, secretary general of the Japan Socialist Party (JSP), will hold political talks with senior North Korean official Ho Tam, secretary of the Korea Workers Party, in Pyong- yang Saturday morning.

The schedule was set when the JSP leader and his party attend a welcome party hosted by Ho Tam Wednesday night, according io a report KYODO News Service received from a JSP delegation source in Pyongyang.

The JSP deiegatior flew into the North Korean capital via Beijing earlicr in the day.

The talks between the JSP delegation and Ho Tam are expected to center on relations between the two coun- tries, especially on Japanese efforts to effect an early release of two Japanese seamen now detained in North Korea for alleged espionage charges.

In an effort to secure the release of the detained seamen, Japan's largest opposition party JSP urged the Tokyo Government to lift anti- yongyang sanctions imposed last January 26 in protest against the November 29 loss of a South Korean airliner over the Andaman Sea off Burma.

The Japanese sanctions restrict contacts between official personnel of Japan and North Korea. Japan has diplo- matic ties with South Korea, but not with North Korea.

Before flying into Pyongyang. the JS! secretary general met Japanese Prime Minister Nobor, Takeshita and dis- cussed the problem of the detained seamen on Monday.

Depending on the result of the JSP delegation’s discus- sion with North Korean officials, the Japanese Govern- ment is reportedly ready to lift sanctions against North Korea even before the start of the Seoul Olympics on September 17.

The Japanese delegation was invited to North Korea to attend the 40th anniversary celr dration of North Korea's founding.

The delegation will attend the celebratson ceremony in Pyongyang on Friday and a welcome rally in honor of the delegation in Kaesong south of Pyongyang. on Sunday. It will return to Japan via Beying on Monday.

FBIS-EAS-88-174 8 September 1988

Tokai Bank Predicts U.S. Pressure To Continue OW0709132188 Tokyo KYODO in English 1107 GMT 7 Sep 88

[Text] Nagoya, Sept. 7 KYODO—U.S. pressure on Japan to open its market and restructure its economy will gain momentum regardless of the outcome of the U.S. presidential election in November, a Japanese com- mercial bank predicted Wednesday.

Tokai Bank Lid. based the prediction—contained in its monthly analysis—on the U.S. trade and budget deficits and concern over inflation which will be carned over from the Reagan Administration.

The bank predicted that the next president would take meas’ vs to reduce the fiscal deficit, including tax hikes, Step Dy step without causing a recession.

The new administration will also implement steps to stabilize the value of the U.S. dollar at a lower level to Stimulate exports and pressure countnes with trade surpluses to open their markets to foreign imports, it said.

The new president, whether he is George Bush of the Republican Party or Michael Dukakis of the Democratic Party, will have little room for choice on economic measures to be taken, the bank said.

in Moscow Protests Incident OW 0809015088 Tokyo KYODO in English 0027 GMT

8 Sep 88

[Text] Moscow, Sept. 8 KYODO—The Japanese Embassy in Moscow protested to the Soviet Foreign Ministry Wednesday about a Soviet patrol boat which

scraped a Japanese fishing boat in Japanese waters on Tuesday.

According to the embassy, a Soviet patrol boat brushed by the No. 32 Kazwe: Maru off Nosappu Point of Nemuro, Hokkaic’o Prefecture. The act by the Soviet patrol boat's c:ew endangered the lives of the Japanese crew members, embassy officials sand in their protest.

The Soviet patrol boat reportedly left the scene without confirming whether the crew aboard the Japanese fishing shio were safe, an act which violates international law and 1s unforgivable the embassy officials said.

The Japanese side has right to request compensation for all of the damage. they said.

Soviet Foreign Ministry officials sand they will investi- gate the matter. since they have not yet received infor- mation concerning the incident

NORTHEAST ASIA

Kansai Firms Withdraw Employees From Burma OW0709113688 Tokyo KYODO in English 1119 GMT 7 Sep 8&8

[Text] Osaka, Sept. 7 KYODO—Japanese enterprises based in the Kansai area have started withdrawing their employees from Burma because of political unrest there.

Employees of Matsushita Electric Industrial Co. and Mazda Motor Corp. left Rangoon for home on Monday.

Hidenobu Yagyu, an engineer of Kubota Lid.. was reported to have been stranded in the Burmese apital and was hoping to fly home on the first available flight.

Japanese firms began investing in Burma in 1962 under technical cooperation agreements with the Burmese Government.

Matsushita stationed two engineering instructors at its facility to manufacture electnc lamps and motors.

One of them has already returned to Japan because of poor health

Kubota keeps engineers to provide technical aid for production of agricultural equipment and pumps.

Mazda retained technicians to offer technical guidance on the assembly of jeep-type vehicles and trucks.

The compamies said they would take measures to cope with the situation after closely watching developments.

Embassy To Urge Residents To Leave Burma OW 0809040888 Tokyo KYODO in English 0325 GMT

8 Sep 88

[Text] Tokyo, Sept. 8 KYODO—The Japanese Embassy in Rangoon will soon urge Japanese residents in Burma to leave the country as workers went on a general sinke Thursday im a demand for democracy. Chief Cabinet Secretary Keizo Obuchi said

The government spokemsan told a press conference the embassy reached the decision after consulting a society of Japanese residents.

There were 22! Japanese nationals in Burma as of Monday. 181 of them in Rangoon, Foreign Ministry officials said.

Tensions are runing high in Rangoon. and the strik-ng workers are calling for the resignation of President Maung Maung

The Burmese Government ignored an opposition dead- line for Maung Maung to resign by 8 p.m. Wednesday.

FBIS-EAS-88-174 8 September 1988

Envoy Advises Residents To Leave OW 0809090988 Tokyo KYODO in English 0852 GMT 8 Sep 88

[Text] Rangoon, Sept. 8 KYODO—Japanese Ambassa- dor to Burma Hiroshi Otaka urged Japanese residents here on Wednesday night to leave Burma as tensions ran high with an antigovernment general strike from Thurs- day.

The ambassador gave the advice when he met represen- tatives of a society of Japanese residents at the Japanese Embassy here.

Japanese residents are expected to leave the country starting Friday for flight reasons.

The Japanese school in Rangoon was closed from Thurs- day when the general strike began, the embassy said.

There were 221 Japanese nationals in Burma as of Monday, 18! of them in Rangoon, according to the Japanese Foreign Ministry.

Mongolia

Sodnom, Delegation Depart for DPRK Celebration OW 0809021288 Ulaanbaatar MONTSAME in Russian 1347 GMT 7 Sep 88

[Text] Ulaanbaatar, 7 Sep (MONTSAME)}—An MPR party-state delegation headed by D. Sodnom, member of the MPRP Central Committee Politburo and chairman of the MPR Council of Ministers, left here today for Pyongyang [words indistinct] in the festivities to be held on the occasion of the 40th anniversary of the founding of the DPRK.

The delegation was seen off at Bayant-Uhaa Airport by D. Molomjamts, member of the Politburo and secretary of the MPRP Central Committee, C. Suren, deputy chairman of the MPR Council of Ministers; L. Rinchin, chief of an MPRP Central Commitiee Department. D. Saral, administrator of affairs of the MPR Council of Ministers, Colonel General J. Yondon, MPR minister of defense, Lieutenant General A. Jamsranjab, MPR min- ister of public security, D. Yondon, MPR first deputy minister of forergn affairs, and other officials, as well as Kim Taek-yul, DPRK ambassador to the MPR.

Lao Prime Minister Greets Batmonh From Plane OW070915 1888 Ulaanhaatar International Service in Enelish 0910 GMT 6 Sep 88

[Text] Lao Prime Minister Kaysone Phomvihan has sent a message to Mongolian President Batmonh from aboard his plane on his way back home after paying a working fnendship visit to Mongolia.

NORTHEAST ASIA

The Lao leader expressed the ope that Mongolian-Lao fnendship and cooperation wili further deepen in the spirit of the recent Ulaanbaatar talks and for the sake of peace, security, and cooperation in Asia and the world over.

Balhaajab Receives Czechoslovak Journalist OW0709152488 Uiaanhbaatar MONTSAME in Russian 1340 GMT 6 Sep 88

{Text} Ulaanbaatar, 6 Sep (MONTSAME}—T. Balhaa- jab, secretary of the MPRP Central Committee, voday received the editor in chief of the NOVA MYSL jour- nal—the organ of the Czechoslovak Communist Party— who is here at the invitation of the NYAMYN AM‘DRAL [PARTY LIFE] editorial board.

Present at the meeting was B. Ligden, chief editor of the United Editonal Board of MPRP Central Committee publications.

Balhaajab Receives Bulgarian tion OW04091 20888 Ulaanhaatar MONTSAME in Russian 1345 GMT 3 Sep 88

[Text] Ulaanbaatar, 3} Sep, (MONTSAME)—T. Balhaa- jab, secretary of the MPRP Central Committee, received today a Bulgarian Communist Party [BCP] delegation headed by Comrade Stoyan Gadzhanov. The delegation is here under a plan for interparty cooperation between the MPRP and the BCP for ("exchanging party work

experience).

Present at the meeting was D. Myyan, chief of an MPRP Central Committee department.

Economic, Scientific Cooperation With Hungary OW0709150888 Ulaanbaatar MONTSAME in Russian 1352 GMT 6 Sep 88

[Text! Ulaanbaatar, 6 Sep (MONTSAME}—The 20th MPR-Hunganan People’s Republic intergovernmential commission on economic, scientific, and technical coop- eration began its work here today.

The MPR and Hungarian delegations at the meeting are headed by S. Lubsangombo. candidate member of the MPRP Central Committee, deputy chairman of the MPR Council of Ministers, and chairman of the Mongolian side of the intergovernmental commission, and L. Urban. Hun-

garian People’s Republic minister of transport and chair- man of the Hunganan side of the commission.

The following topics are listed on the meeting's agenda progress in realizing the intergovernmental cooperation

tin the areas of economy, science, and technol- ogy for the 1986-90 penod: the protocol on cooperation in the areas of geology and mining industry. mutual delivery of goods and payments for | 988. questions on perfecting methods of cooperation. concluding a proto- col for 1989. and other matters.

FBIS-EAS-88-174 8 September 1988

The meeting of the MPR-Hungarian People’s Republic intergovernmental commission on economic, scientific, and technical cooperation is scheduled to continue until 10 September.

North Korea

Kim Il-song Speaks at National Founding Viccting SK080906 1988 Pyongyang KCNA in English 0612 GMT 8 Sep 88

(Text) Pyongyang September 8 (KCNA)}—A grand national meeting to celebrate the 40th anniversary of the foundation of the Democratic People’s Republic of Korea is being held now in Pyongyang.

The great leader Comrade Kim Il-song, geeral secretary of the Central Committee of the Workers’ Party of Korea and president of the Democratic People’s Republic of Korea, is delivering a report titled “Let Us Accomplish the Cause of Socialism and Communism * nder the Revolutionary Banner of Chuche”™ at the mecting.

Present there are party and government cadres and people of all social standings.

Invited to the meeting are heads of state, heads of government and a large number of delegations and delegates from five continents of the world visiting Korea to greet the national day.

or SKO080908 2688 Pyongyang KCNA in English 0804 GMT 8 Sep 88

[Text] Pyongyang September 8 (KCNA)}—The great leader Comrade Kim Il-song, general secretary of the Central Committee of the Workers’ Party of Korea and

president of the Democratic People’s Republic of Korea, delivered a report entitled “Let Us Accomplish the Cause of Socialism and Communism Under the Revo- lutionary Banner of Chuche™ at the national meeting to celebrate the 40th anniversary of the foundation of the Democratic People’s Republic of Korea on September 8.

In the first part of the report, he said: The Democratic People’s Republic of Korea is a great achievement gained by our revolution through a long-drawn-out, arduous struggle for chajusong. It 1s a genuine political power of the peopic which 1s meeting the masses’ desire for independence and realizing their ideal with credit by implementing the chuche idea.

He coatinued:

Our Republic has grown from the deep historncal roots of the glonous anti-Japanese revolutionary struggle.

The imperishable achievement made by the Korean communists in te anti-Japanese revolutionary struggle was that, by establishing the chuche of our revolution.

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they led the cause of the country’s liberation to victory and laid a strong foundation on which to build an independeni and sovereign state.

By establishing chuche in the revolutionary struggle we were able to increase and strengthen the revolutioniry ranks steadily and win a histonc victory in the anti- Japanese revolutionary struggle in those arduous circum- stances.

After liberation, the occupation of South ..orea by the U.S. imperialists laid grave obstacles and difficulties in our way of building a new country. Nevertheless, on the strength of the glorious revolutionary traditions created during the anti-Japanese revolutionary struggle, we were able to ‘ound the chuche-type revolutionary party with- out delay, the people’s government and the regular armed forces, carry out the democratic reforms success- fully and pa. a broad avenue for social progress along democratic lines.

The glorious revolutionary traditions of the anti-Japa- nese revolutionary struggle and the brilliant success achieved by our people in their creative struggle for democratic construction after liberation became an unshakable foundation for the establishment of the Democratic People’s Republic of Korea.

The establishment of the Republic ¢ sabled our people to shape their destiny independently and creatively as genu- ine masters of an independent and sovereign state and provided them with a powerful weapon to build socialism and communism. The emergence of the Democratic Peo- ple’s Republic of Korea as an imposing eastern bulwark of peace and socialism was a historic event. It inspired the people in Asia and the rest of the world who had been groaning under impenalist domination and oppression to liberation struggles and dealt a heavy blow at the impen- alists and international reactionanes.

During the past 40 years, our Republic has advanced dynamically 2!ong the course of independence indicated by the chuche idea, braving harsh trails in history, and made a great success in the revolution and construction.

Under the correct leadersitup of the Workers’ Party of Korea and the government of the Republic, our people have thwarted. at every step, the aggression and ceaseless provocative moves by U.S. impenalism, the mngleader of world impenalism. and safeguarded the dignity of the Republic with honour. In the difficult circumstances where the country was divided and was in a state of centunes-oid backwardness, they pressed on with the socialist revolution and with the buziding of socialism by displaying the revolutionary spirit of self-reliance and fortitude. Through the magnificent, creative and con- structive struggle for socialism they have been trained to be an unconquerable people who are firmly equipped

FBIS-EAS-88-174 8 September 1988

with the chuche idea and united closely with one ideol- Ugy and purpose, and our country has become a powerful socialist state which is independent, self-sufficient and capable of self-reliant national defence.

Our people are now enjoying independent and creative lives to the full im the embrace of the Republic, as misters of the state and society.

In the vortex of history in which the destiny of the revolution was at stake, our Republic has been able to advance tnumphantly along the straight road to social- ism and communism because it has always held fast to the standpoint of chuche, implemented the principle of continuous revolution thoroughly, strengthened the sub- ject of the revolution and steadily enhanced its role. This iS precisely the summary of our experence in the long- drawn- out revolution and constriction.

The basic stands we have maintained consistently in the revolution and construction are the independent and creative stands.

By adhering to the independent and creative stands in the whole course of the revolution and construction, we have been able to overcome sycophanc and dogmatism, establish chuche in ideology, realize independence in politics, and build up a powerful independent national economy and self-reliant defence power, capable of pro- viding our people with a happy material and cultural lyfe and of firmiy gua -aiieeing the security of the country. Consistent adherence to the independent and creative stands 1s the basic factor that has enabled our party and the government of the Republic to guide the revolution and construction victoriously without any turns and twists.

We have been able to make uninterrupted advance and continual innovations in the revolution and construction over the past years because we have implemented our party's idea of continuous revolution thoroughly. Our party's idea on the continuous revolution represents a thoroughly revolutionary stand for carrying the revolu- tion to the end without giving it up halfway, this idea is an expressvon of its unfailing loyalty to the cause of chajusong, its sense of full responsibility for the destiny of the masses.

How »- should blaze an untrodden trail towards com- munism after the triumph of the socials! revolution and the estabiishment of the socialist system was a serious problem which was decis. ve to (he outcome of the effort to build socialism and communism.

Following the establishment of the socialist syster., our party and the government of the Republic have pressed on with the i¢@eological, technical and cultural revolu- tions and thus have been able to make continuous advance in buik'\ing soc <atism and carry on a successful Struggle to capfure the two fortresses of communism simultaneous,

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In promoting the revolution and construction we have always put our first effort into strengthening the subject of cur revolution and enhancing its role.

We have armed all the people firmly with ihe chuche idea and rallied them closely around our party and the government of the Republic by regarcing as most important to strengthen their political and ideological unity and sol:darity centring on the party. Furthermore, we have ensured that everyone leads organizational and ideological life in a socio-political organization and continues to receive education under a spe: fic educa- tional system. This has enabled them to become builders of socialism with a high degree of revolutionary spint and creative ability.

We have overcome bureaucratism anu subjectivism and g:ven full play to socialist democracy by implementing the Chongsan-n spirit and Chongsan-ri method in state activities. As a result, we have enlisted the revolutionary enthusiasm and creativity of the working people to the fullest extent im socialist construction.

We have strengthened the party and united all the people closely behind and thus fortified the subject of our revolution as an unconquerable force. an unbreakable harmony of the party and the masses. This is an incom- parably valuable success, and this is th. key to all our victones on the revoluton and construction.

Now that our country .fich was unce in a state of agclong backwardne-. and suffered an eclipse. trampled underfoot by imperialists. has become a prospering and mighty socialrst state, we can feel due pride and confi- dence in and boast of the revolutionary stand and the independent line we have consistently maintained over the past years, as well as of the worthwhile struggle and great achievernents of the party and the people that. united as one, have creatively blazed a new trail in

history.

In the second part of the report, President Kim Il-song said: Building socialism and communism by modelliig the whol of society on the chuche idea 1s the histonc mission of the government of the Republic

He continued.

In order to busld the communist society it 15 necessary to lay the material and technical foundations for commu- nism, train people into communisi-type men and develop social relations to fit in with the requirements of communism. The harnessing of nature. the reforming of people and the transforming of society consiitute the three spheres of the masses’ creative activity tc achieve chayusong. Therefore. these are the strategic task: which must be carned out simultaneously in building socialism and communism.

FEIS-EAS-88-174 8 September 1988

The people’s government is a powerful weapon to build socialism and communism, and the ideological, technical and cultural revolutions are the basic ways and means to build socialism and communism. A long time ago, there- fore, we put forward the formula that the people's govern- ment plus the three revolutions makes communism.

Strengthening the people's government and pressing ahead with the ideological, technical and cultural revo- lutions 1s the general line of our party in building socialism and communism. Guided by this line, we must further accelerate the work of transforming nature, men and social relations along communist lines.

We must accelerate the transformation of nature and thus lay the solid material and technical foundations for socialism and improve the socialist economic life of the masses in an allround way.

Accelerating socialist econumuc construction 1s the most pressing challenge at the moment in displaying the advantages of our socialist system to the full and advar-- ‘ag Our revolution victoriously.

We must continue to carry out our party's sirategic line of making our national economy chuche-onentated, modern and scientific and lay solid maternal and techni- cal foundations for socialism and communism.

The principal task of the government of the Republic in socialist economic construction 1s to solve the problem of food, clothing and housing for the people satisfactorily in keeping with the socialist demand and free the work- ing people completely from their arduous and toilsome work.

Promoting the technical revolution and developing the economy on the principle of solving the problem of food. clothing and housing satisfactonly and improving the working conditions in accordance » ‘th the ever-growing demand of the people is the most important task of the socialist state which serves the peop/e. When the third seven-year plan has been fulfilled. not only a large quantitative increase will be made in the output of major manufactured goods but also another qualitative leap forward will be effected in improving the standard of loving of the people and in giving rein to the vitality of the independent national economy.

In the field of external economic affairs we must expand foreign trade actively and develop different forms of economic and technical cooperation and exciiange. such as pomnt venture anc collaboration, on an extensive scale.

We must not slacken the high spint displayed in the histone 200-day camoaign in all fields of the national economy and continue to develop the mass

innovation dnve so that we can attain all the production goals of the third seven-year plan without fail.

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It is umperative to develop science and technology rap- idly in order to free the working people from arduous bour and speed up socialist construction.

We must promote scientific research on the principle of making the national economy chuche-onentated, mod- ern and scientific and, in particular, concentrate on developing electronics, biology and therma! engineering so thai we can use machines, rohots and computers widely in production, develop agriculture and fishernes on the basis of the achievements made in modern biology and find a satisfactory solution to the problem of thermal energy by making effective use of our fuel resources.

Success in building the socialisi economy depends largely on how the economy is directed and managed.

For the scientific and rational management of the social- ist economy it 1s necessary to combine political leader- ship properly with economic and technical guidance in directing and running the economy.

In socialist socicty the party is the highest political organization which represents the fundamental interests of the popular masses and, therefore, it has the respon- sibility to direct the socialist economy. The party must frame its economic policy in accord with the desire and interests of the masses and guide its implementation in a political manner. Under the politica) leadership of the party, the state and economic bodies must manage the economy in a scientific and technical manner, based on the objective economic laws aid accurate economic calculation.

In the guidance and management of the socialist econ- omy, it 1s necessary to combine unified state leadership properly with the creative initiative of every unit.

Unified and systematic state leadership alone makes it possible to run the socialisi economy to meet the com- mon des:re and interests of the masses and ensure the balanced development of all economic sectors and waits.

Democracy and unified control must be combined prop- erly un the guidance and management of the socialist economy.

In the guidance and managerment of the socialist econ- omy the political and moral incentive and the maternal incentive must also be combined correctly. Since politi- cal integrity 1s more valuable for a social man than his physical life. in the management of the socialist economy it 1s reasonable to put the main stress on the political and moral incentive and combine it with the maternal incen- tive correctly.

To combine properly political leadership with economic and technical guidance. unified state leadership with the creative imitiative of every unit. democracy with unified control, and the politral and moral incentive with the

FBIS-EAS-88-174 8 September 1988

material incentive is the fundamental principle which has been consistently maintained by our party in the guidance and management of the socialist economy.

The chuche-onentated economic management system created by our party is the most advantageous system which fully embodies the fundamental principles of socialist economic management. We must hold fast to the chuche-orientated economic management system, particularly the Taean work system whose validity and vitality have been proved in practice, and implement this system thoroughly.

We must press ahead with the work of reforming the people so as to raise the levels of their ideology and creative ability and develop a socialist ideological and cultural life on a full scale.

The basic task in this undertaking is to train people to be communists with indeperdent ideological consciousness and creative ability by modelling them on the revolution and working-class pattern and by intellectualizing them.

Since a social wian regards chajusong as his lifeblood, the first and foremost thing in reforming him is to encourage him io acquire the consciousness of independence.

We must intensify education in the chuche idea under the banner of the ideological revolution. and make a greater advance in the work of making the people revo- lutionary and working-class. We must further improve and intensify the work of ideological education and organizational life in keeping with the requirements of the developing situation so that all the people continue to cultivate the revolutionary spirit and organization.

An important matter in the development of educational vork at present 15 to implement the theses on socialist education thoroughly and improve the quality of educa- tron radically.

We must advarce natura! and social sciences on an extensive scale so as to increase the people's creative ability to transform nature and society and fully display the supenority of the socialist system. Literature and art should be made popular among the masses so that the masse» the mselves create and enjoy literature and art.

By promoting the transformation of society, we should constantly improve social relations to meet the require- ments for communism and develop the socialist political \1fe in an all-round way.

We must .peea up the ideological, technical and cultural revolutions and ‘aus eliminate the distinctions between the working class and the peasantry and realize 2 class- less society in step with the improvement of the peopic « ideological and cultural jevels and with the consolidation of the maternal and technica! foundations of society. and

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must continue to strengthen and develop the political, economic and cultural systems until the social relations of communism are consummated.

The most important task in social transformation is to develop the political system.

In order to strengthen the political system of socialism it iS imperative to establish a strict system by which all State activities are conducted under the leadership of the party. It is an intrinsic requirement of the socialist political system to guarantee party leadership, and inten- sifying party leadership over state activity steadily is a basic principle to be maintained in developing the social- ist polni_al system.

People’s Government organs must take a firm stand as the champion of the people’s interests and the executor of party policy and conduct all their activities on the basis of party line and policy.

The state system of direction and management must be perfected in keeping with the requirements for the devel- opmeni of socialist society.

We must strengthen the People’s Government organs and improve steadily their work system and work method so that the People’s Government fulfils its function to safeguard the revolution and administer the society and so tha it plays its role as the faithful servant of the people satisiactorily.

Democracy must be thoroughly implemented in state

artivity.

The socialist state must formulate its policy by incorpo- rating the desires ar i will of all the pec ple and encourage them to implement it as the masters; it must provide everyone satisfactorily with freedom and equality while protecting the common interests of society. The essential superiority of socialist democracy lies in the fact that it guarantees both the common imerests of society and the freedom and equality of individuals in full by combiring them properly.

People’s Government organs must oppose subjectivism and bureaucratism, strengthen the system of collective discussion and rely entirely on the popular masses in their work as required by the Chongsan-ri spirit and Chongsan-n method.

Our line for the accomplishment of the cause of social- ism and communism is ccrrect and our goal is clear. If we advance with vigor in the spirit of Chollima, spurred on by the speed campaign in response to the party's call on all the people to live and struggle like heroes, we shall be able to attain a new, high eminence of socialism without fail and exalt the honour of victors.

FBIS-EAS-88-174 8 September 1988

In the third part of the report, President Kim Il-song referred to the question of national reunification. He said:

The struggle for nationa: reunification is not an effort to settle any contradiction between classes within our nation or antagonism between systems; it is the cause of the whole nation for accomplishing its liberation and realizing the chajusong of the Koreans.

In view of the basic character of the reunification ques- tion, our party and the government of the epublic put forward the three principles of independence, peaceful reunification and great national unity.

The realistic method of settling the question of national reunification on the basis of the three principles is to establish a democratic confederal republic of Koryo {[DCRK].

In order to reunify ti.2e country when different ideas and systems really exist in the North and South of Korea, it is necessary to form a unified state by federating the two autonomous governments, leaving the two systems as they are on the principle of coexistence, one refraining from conquering the other or one side refraining from overwhelming the other. Establishing the DCRK is the only correct way of settling the issue of reunification independent!v and peacefully by the united effort of the whole nation in accordance with the common desire an.{ will of the nation. In the future, too, we will make every effort to reuaify the country by establishing the DCRK on the three principles of independence, peaceful reuni-

fication and great national unity.

In order to achieve the independent and peaceful reuni- fication of the country, we must fight against the U-S. impe “alists’ policy of subjugating South Korea as their colony and against their scheme to create “two Koreas”.

A talk about national reunification apart fror.: the strug gle against the U.S. imperialists’ scheme to make “two Kureas” and dominate South Korea for ever is only a deceitful empty