Chapter 702: Whether It’s North Korea or Japan

North Korea’s claim against Japan culminated in an agreement involving 20 billion dollars in reparations, acknowledgment and apology for the abduction of Japanese nationals, and their return.

However, just because a broad agreement had been reached doesn’t mean everything was settled.

This matter could easily be manipulated like in South Korea, with both free and paid aspects at play.

I intended to clarify that part completely.

“So I understand there are no objections from either side regarding the compensation amount?”

Both men nodded in agreement, and I quickly began outlining the details.

But as I expected, Koizumi started off with some tricks.

He took the initiative and proposed compensation structured like South Korea’s.

“Out of the 20 billion dollars, we will pay 10 billion in the form of compensation over nine years. Of this, 800 million dollars will be offset by forgiving North Korean bonds held by the Japanese government. In the first year, 1.2 billion dollars will be given.”

The North Korean bonds owned by the Japanese government amounted to around 800 million dollars.

The treasury bonds circulating in the open market were already accounted for by me, leaving mostly the bonds held by various governments.

Koizumi continued to speak.

“The remaining 10 billion dollars will be provided as a loan over ten years, with an interest rate of 2%. Additionally, we will seek private loans to support North Korea.”

Moon Kyung-duk couldn’t hide his disbelief at Koizumi’s words.

“I understand the installment payments. But a loan? How can you give us a loan in the form of reparations? Isn’t that contradictory?”

“South Korea negotiated in a similar manner. If we treat North Korea differently, the South Korean government will raise objections.”

“The circumstances then and now are completely different, aren’t they? We must receive the full 20 billion dollars as a grant. We can concede the amount equivalent to the debts we owe Japan, but we cannot accept any other terms whatsoever.”

Moon Kyung-duk was firm on this matter.

I remained silent, simply observing as the two men debated the details.

“We demand that you provide the full 20 billion dollars in a single payment. Only then can we resume relations between our republic and Japan. Until then, nothing will change.”

“Be reasonable. 20 billion dollars is more than half of Japan’s defense budget. Do you have any idea how significant that amount is?”

“Compared to the decades of plunder our republic has endured, that amount is almost laughable. Are you really unaware of this?”

“Hey, envoy. Is that how you propose to negotiate?”

“That’s what I need to say. How can I accept your ludicrous offer, Prime Minister?”

The diplomatic finesse vanished from the negotiation table, and the two men clashed more intensely.

“Paying 20 billion dollars up front is a difficult task. It’s not something I can decide unilaterally. Even if I agree here, the parliament will definitely reject it. So, let’s talk about terms we can realistically accept.”

“Our republic’s stance is simple. We demand that reparations be paid fully in one payment. Who knows? You might change your mind later and refuse to reimburse us.”

Having observed the discussion, I sensed one thing.

There seemed to be a total absence of trust between North Korea and Japan.

The two men stubbornly expressed their claims without yielding an inch for a long time.

I intervened when their stagnant negotiation formed an inevitable deadlock.

“Your arguments are too polarized. At this rate, nothing will be resolved today. The sun is about to set soon.”

As I spoke, Koizumi, seemingly frustrated, let out a lament.

“Mr. Kim Mu-hyeok. As you must have noticed, isn’t North Korea’s behavior a bit extreme? Our government has made every effort to reach a compromise with them. But now they demand such a huge compensation all at once, which is utterly unacceptable.”

“You don’t mean to say that the Japanese government can’t come up with that sum? The Japanese defense budget is far greater than the compensation amount.”

“We’ve already designated the budget for the year. To pay reparations to North Korea would require a supplementary budget proposal. There’s no way parliament will approve a supplementary budget to give out 20 billion dollars all at once.”

“That’s something the Prime Minister must resolve. The North Korean government has no reason to consider your position.”

When I spoke coldly, Koizumi tightened his lips. I turned to Moon Kyung-duk and asked him as well.

“Mr. Moon Kyung-duk. Must you insist on receiving the entire 20 billion dollars up front? What are you planning to do with such a huge sum at once?”

“······.”

“Please don’t push Prime Minister Koizumi too hard. I’m helping with this negotiation at the request of Chairman Jang Seong-taek, but if you keep squeezing Japan, it might jeopardize the negotiations altogether.”

“Understood. I will follow Mr. Kim Mu-hyeok’s wishes.”

Moon Kyung-duk accepted my decision without question, playfully fulfilling his supporting role as Jang Seong-taek suggested.

I nodded in satisfaction before turning to Prime Minister Koizumi.

“Prime Minister, let’s do this. Let’s agree to pay 4 billion dollars yearly over five years, but condition it on the cancellation of the North Korean debts owed by the Japanese government. And don’t mention any loans. The compensation Korea needed was crucial back then, but for North Korea, it isn’t the priority. Different circumstances require a different approach.”

“Are you asking us to forgive debts amounting to 800 million dollars?”

Koizumi frowned and asked. He seemed focused solely on immediate interests.

“But wouldn’t it provide a good opportunity for your Japanese companies to enter North Korea? After all, Japan has suffered for ten lost years. If you want to revive the economy, you cannot remain isolated from the Korean peninsula any longer. While South Korea can cooperate on major projects related to the development of the Seven Islands, North Korea has virtually nothing. How long do you think you can survive just by depending on your domestic market?”

Having consolidated power, Koizumi had been adopting policies aimed at boosting the domestic market.

But relying solely on the domestic market had its limits.

Even if it seemed like the economy improved in the short term, Japan hadn’t experienced real growth for decades.

The comparison between Japan in 1990 and Japan in 2020 proved this.

Despite thirty long years passing, the national economy remained stagnant at the same spot.

Though it couldn’t be denied that Japan was among the world’s leading economic powers, its state was a far cry from being the world’s second-largest economy, which once closely followed the U.S.

“If there’s no progress in relations with North Korea, the gas pipeline connection will never even begin. This business isn’t something I can undertake alone. No matter how sweet your suggestion is, if Chairman Jang Seong-taek opposes it, we won’t even be able to get started.”

“Hmm.”

Koizumi furrowed his brow, appearing contemplative.

“Connecting the gas pipeline isn’t the end game. We’ll eventually link it to the Eurasian railway. If we connect the overland route from Korea to Europe, Japan will find itself isolated. You must think carefully about this.”

There was anguish in Koizumi’s silence.

He couldn’t be unaware that Japan would become isolated if things continued as they were.

Although they had formed an alliance with the U.S., geographically, they were closer to Korea, China, and Russia.

“Huh… If we’re paying in installments over five years, I suppose we could manage somehow. But please do not obstruct our Japanese companies from entering North Korea.”

“I wouldn’t dream of it. There’s no way Chairman Jang Seong-taek would refuse investments from companies willing to invest in North Korea. Isn’t that right, Mr. Moon Kyung-duk?”

“That’s correct. Investments in our republic are always welcome.”

“And the foundation of all of this will be the normalization of diplomatic relations between Japan and North Korea. So this time, I ask Japan to show some leniency.”

Of course, I had no intention of actually conceding anything to Japan, but I spoke with a friendly smile.

“So let’s confirm once more. Does Japan agree to pay North Korea 4 billion dollars a year over five years as compensation?”

“······Let’s go with that.”

“Yes. Our republic agrees as well.”

The biggest issue had finally been resolved.

Now, the remaining details could be ironed out by the working-level negotiation teams.

“Whatever agreements are made today must remain intact. The specific terms may change, but do you both agree with that?”

Both men nodded in response to my question.

“If this arrangement falls through, or if either party breaches today’s agreement, you will not be able to count on my assistance for anything that follows. I will not be dealing with that country again, whether it be North Korea or Japan. If that happens, consider yourself making me an enemy.”

After delivering my final warning, I checked the time.

“Since the rest can be discussed by the negotiation teams, shall we end our meeting here for today?”

After hours of non-stop negotiations, a wave of fatigue washed over me.

Seeing my expression, Koizumi quickly nodded.

“Let’s do that. From here on out, our governments will take care of it.”

As I rose from my seat, Moon Kyung-duk followed suit.

“Then, Prime Minister, I hope we will meet again soon.”

“Likewise, Mr. Kim. Are you heading back immediately?”

Koizumi rose with me and asked.

That had been my initial plan.

However, due to Hiroyuki, I decided to postpone my return.

“I’ll be staying in Japan a few more days. It’s been a while since I came, so I plan to spend some time sightseeing.”

I extended my hand to Koizumi. He subtly gauged my intention before shaking my hand.

“Don’t you have any scheduled meetings between businessmen?”

Koizumi asked while shaking my hand. So he was interested in that.

I smiled gently and tightened my grip on his hand.

“Not at this moment. Let’s see if there are any Japanese companies worth investing in. Thank you for your hard work today. I know it’s a tough decision. But everyone will know that choice is substantial for Japan.”

“Huh… I hope so. Mr. Kim Mu-hyeok, you worked hard today too between the two nations.”

After finishing our handshake, Koizumi turned to Moon Kyung-duk and extended his hand.

“Will you be coming in as the head of the negotiation team as well?”

“It appears so. Once someone is assigned, that person should carry it through.”

“That’s good. If someone else comes in and changes anything, it’ll become a headache again.”

He was determined to keep his ground. Shaking my head, I left the office with Moon Kyung-duk.

We didn’t speak a word until we were out of the Prime Minister’s residence.

Only when we reached the parking lot did I ask Moon Kyung-duk.

“Mr. Moon Kyung-duk, are you heading home immediately?”

“No. I plan to return tomorrow.”

“Do you have somewhere to stay?”

“Yes. I do.”

There must be at least one safe house for North Korea in Japan.

Nodding, I moved closer to Moon Kyung-duk and warned him in a chilling voice.

“Make sure to convey to Chairman Jang Seong-taek. This is as far as we can go. We’ve secured reparations significantly larger than what South Korea received. We cannot jeopardize this agreement by seeking more.”

“Understood. I’ll pass that on.”

His usual blunt and resolute response came back. I stepped away from Moon Kyung-duk while smiling.

“You’ve done well. See you later.”

After shaking hands with Moon Kyung-duk, I got into the car.

As soon as the car door closed, I gave instructions to Manager Ma.

“Manager Ma. It seems I’ll need to stay in Japan for a few more days. Please contact Black Bear and gather information regarding the Heaven Church situation. And…”

Even as I spoke, uncertainty encroached. Getting involved with religion can be complex.

In such cases, it’s better to utilize others than get personally entangled.

“Let’s go to Yamamoto.”

Seeing Manager Ma nod, I sank deeply into the seat.

As fatigue washed over me, I unconsciously sighed, catching Manager Ma’s concerned gaze.

Waving my hand lightly to reassure, I closed my eyes.

“Boss. We will arrive soon.”

I opened my eyes at Manager Ma’s voice. The Kobe Port Tower briefly passed by outside.

It appeared we had entered Kobe, where the Yamaguchi-gumi headquarters was located.

Outside, night had fallen, enveloping everything in darkness.