North Korea's sacked premier, who was an advocate of economic reform in the impoverished state, appears to have been pushed from office in a conflict with the powerful military and ruling party, analysts said on Thursday.
South Korean media said Pak Pong-ju, a technocrat once seen as a rising star leading the country's nascent economic reforms, may have been disciplined and his movements restricted. "There is rumour that Pak fell out of favour with (leader) Kim Jong-il because he misused oil funds to be used for the farming sector," said Kim Young-yoon at the Korea Institute for National Unification.
The reclusive state has serious energy shortages and satellite photos show the North in near darkness at night compared to the brightly lit South. The main incentive under an international deal with the North is massive energy aid in return for nuclear disarmament. Pak, with still a year left in office, was replaced by Minister of Land and Marine Transport, Kim Yong-il.
His removal was mentioned briefly at the end of a state news agency report on the annual meeting of the Supreme People's Assembly, North Korea's rubber stamp parliament. Analysts say premiers typically have had little sway in a country where a personality cult ensures power focuses on leader Kim Jong-il and whose policies strongly favour the military.
But, about two years ago, the secretive North sent Pak on a much publicised visit to China to study the economic miracle of the North's giant neighbour and closest ally.
At that time, Pak was often seen at public events covered by the North's official media near leader Kim, who typically surrounds himself with senior military figures, leading to speculation he was close to the centre of power. North Korea has launched piecemeal reforms in 2002 that slightly opened up heavily centralised sectors such as agriculture.
But the country's economy is still in shambles. Even with a good harvest, it falls about 20 percent short of the amount it needs to feed its 23 million people. The new premier, a transport expert, may have been appointed to improve the North's troubled rail system and perhaps complete the first rail connection with the South in more than 50 years, said Koh Yu-hwan, professor of North Korean studies at Dongguk University.
"We could possibly see changes regarding North-South railway lines," Koh said. North Korea convened parliament on Wednesday to discuss the annual budget, with leader Kim making a rare public appearance for the session devoted to boosting the country's moribund economy. The priorities for this year include improving railways, manufacturing, technology and agriculture, the North Korean KCNA news agency reported.
But one of the biggest allocations, in percentage terms, continued to be for defence which was given 15.8 percent of the total - slightly less than last year. Another 15 percent will be for agriculture, though KCNA gave no amounts.
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