PRESS CONFERENCE BY PRIME MINISTER JUNICHIRO KOIZUMI
AT THE 4TH ASEM SUMMIT
(September 24, 2002, Copenhagen, Denmark)

1. Results of the 4th ASEM Summit Meeting (Opening Statement)
2. Question on whether or not Prime Minister Koizumi called on President Bush to drop his statement describing the Democratic People's Republic of Korea (DPRK) as part of an "Axis of Evil"
3. Question on the Bilateral Meeting with President Kim Dae-Jung of the Republic of Korea
4. Question on domestic perceptions of the visit made by Prime Minister Koizumi to the Democratic People's Republic of Korea
5. Question on Non-performing Loans
6. Question on the Possibility of a Supplemental Budget
7. Question on Humanitarian Assistance to North Korea

1. Results of the 4th ASEM Summit Meeting (Opening Statement)

   Prime Minister Junichiro Koizumi: Good afternoon ladies and gentlemen. On this visit to Denmark I attended the 4th Summit of the Asia-Europe Meeting (ASEM). I engaged in very active exchanges of views on stepping up relations between the two regions in various areas including political, economic and cultural, amongst others.

   Also, in the wings of the Meeting, I had one-on-one meetings with President Kim Dae-Jung of the Republic of Korea, Prime Minister Zhu Rongji of the People's Republic of China, President Jacques Chirac of the French Republic, and President Romano Prodi of the European Commission. This indeed has been a very meaningful visit.

   At the ASEM Summit Meeting I explained about my recent visit to North Korea and underscored the need for the international community to continue to work on North Korea on such issues as security and humanitarian issues. My visit to North Korea was highly appreciated by the leaders of the participating countries.

   I also appealed to the leaders to step up cooperation between Asia and Europe in our fight against terrorism, on World Trade Organization (WTO) related issues, as well as education-related issues, and I believe that all of the leaders have been able to share awareness on these matters.

   We saw three documents come out of the meeting: The ASEM Copenhagen Political Declaration for Peace on the Korean Peninsula, The ASEM Copenhagen Declaration on Cooperation against International Terrorism and the Chairman's Statement.

   In all of these, I believe that the leaders' resolve, as well as concrete measures to contribute to world stability and prosperity through Asia-Europe cooperation, are reflected. Following this meeting, Japan will replace China as the Asian Coordinator for ASEM, alongside Viet Nam, and as a bridge between Asia and Europe, Japan shall continue to play an active role.

   Thank you very much.

2. Question on whether or not Prime Minister Koizumi called on President Bush to drop his statement describing the Democratic People's Republic of Korea (DPRK) as part of an "Axis of Evil"

   Question: I believe that the dialogue between North Korea and the United States has been considered important, but did you call on President Bush to drop his statement about the "Axis of Evil?"

   Prime Minister Koizumi: Ahead of my recent visit to North Korea, I contacted President George W. Bush of the United States of America as well as President Kim of the Republic of Korea. I had heard their views out in depth before I went to the meeting with Chairman of the National Defense Committee Kim Jong-Il of the Democratic People's Republic of Korea. As such, the Korean views, as well as the American views, were fully taken into consideration as I met with the North Korean leader. So, alongside Japan's own concerns, not just between Japan and North Korea, but also the security-related concerns are a matter of concern for the Republic of Korea as well as the United States and for neighboring countries in the region as well. As such, I discussed these and other matters directly with Chairman Kim Jong-Il. Building on those results, Japan shall consider how best Japan can carry on its cooperation through close coordination with the Republic of Korea and the United States.

   This time, I again met with President Kim Dae-Jung of the Republic of Korea and on that occasion, President Kim again expressed his very strong interest in dialogue between the United States and the Democratic People's Republic of Korea.

   At the time of my meeting with Chairman Kim Jong-Il, I discussed the concerns with regard to nuclear weapons and other weapons of mass destruction. I conveyed to him in a very candid manner the US concern regarding these weapons. Chairman Kim said that he was not shutting the door to dialogue with the United States and that he has left open the doors for dialogue with the US at all times. He asked me to communicate this position of his to President Bush. On the occasion of the first anniversary of the September 11 terrorist attacks and in my one-on-one meeting with President Bush in New York as well, I discussed these matters with President Bush. I suggested to President Bush that the United States should also get down to dialogue with North Korea as early as possible. President Bush said that he will take into consideration seriously my suggestion that the US should engage in a direct dialogue with the DPRK. Now I am sure that the Americans have their own views, and to this day they still harbor very strong security-related concerns vis-à-vis North Korea. At the same time, I believe that the Americans also have not shut their doors to dialogue with North Korea. I felt that very strongly in my one-on-one meeting with President Bush as well.

   I believe that the US, at an early date, should resume talks with North Korea and I shall continue to maintain close contacts with President Kim of the Republic of Korea and President Bush of the United States on these matters. I shall also continue to address this question of normalization of relations with North Korea, with the understanding that we have a trilateral common stance amongst Japan, the Republic of Korea and the United States.

3. Question on the Bilateral Meeting with President Kim Dae-Jung of the Republic of Korea

   Question: I would like to ask questions about your meeting with President Kim Dae-Jung. I believe that President Kim has emphasized the need for the international society to support the efforts on the part of North Korea to improve its economic management. We hear that you stopped short of saying that you are interested in the development of economic measures in the near future. Does it mean that you consider that it is too early to give full support to economic reform?

   Prime Minister Koizumi: Of course Japan and the Republic of Korea have different circumstances in their respective relations with North Korea. Therefore, in certain respects there may be commonality, and it is only natural that there should be differences as well. As far as Japan is concerned, for Japan to provide economic support and cooperation to North Korea is something that should come after the normalization of diplomatic ties. On 17 September, Chairman Kim and I myself signed the Japan-DPRK Pyongyang Declaration. The principles and the spirit embodied in that Declaration will provide the basis for Japan to engage in normalization talks with North Korea. In other words, the undertakings embodied in the Declaration will need to be faithfully implemented by North Korea. That is the minimum condition. At this time, therefore, when Japan has not yet normalized relations with North Korea, I am not thinking of providing economic cooperation to North Korea.

4. Question on domestic perceptions of the visit made by Prime Minister Koizumi to the Democratic People's Republic of Korea

   Question: Regarding your visit to North Korea, you have said that there is high appreciation from the international society. However, from the domestic point of view, the abduction issue should be resolved, so that you should be more careful about promoting normalization talks with North Korea. What do you specifically intend to do when you meet on 21 September with the families of the abductees? How are you going to meet them?

   Prime Minister Koizumi: Considering the sentiments of the families of the abductees, I really do not have words to express. I believe that it is an unbearable feeling and also I cannot help but feel a very strong indignation and fury. These are sentiments that I believe that I share with those families. So, I have to fully take account of this problem and deal with the recurrent issues that have been pending between Japan and North Korea, the present issues and the future issues that need to be resolved between our two countries. I believe that all of these issues will need to be dealt with comprehensively. Even before getting down to normalization talks, and even when the normalization talks have started, I shall continue to hear out the views of the families with regard to the abduction issue, and the Government of Japan needs to do all that it can do to resolve this problem. So, comprehensively and in an overall manner, I would like to conduct the normalization talks. Above all, the Japan-DPRK Pyongyang Declaration will need to be implemented and be translated into action faithfully by North Korea. Bearing this in mind, during the month of October I would like to resume the normalization talks with North Korea.

5. Question on Non-performing Loans

   Question: I have a question on the domestic economy. On non-performing loans, you said that you will come up with strong measures during the month of October. Today, the Chairman of the Bank Association talked about purchasing non-performing loans. Will that be part of your package in October?

   Prime Minister Koizumi: The question of non-performing loans has been deliberated on in the Council on Economic and Fiscal Policy for the purpose of reviving the economy. I myself see this as one of the major causes for the economic stagnation in Japan, and thus, it is extremely important to resolve this problem of the non-performing loans. With that in mind, in order to accelerate the disposal of these non-performing loans, we shall engage in close coordination and close consultations with the financial and monetary authorities and consider what measures would be most effective and put together a package of measures as early as possible. However, I shall refrain from commenting on any specifics at this time.

6. Question on the Possibility of a Supplemental Budget

   Question: I would also like to follow up on that question about the Japanese economy. Do you see any need for any fiscal measures, expansionary fiscal measures, such as, for example, an additional budget?

   Prime Minister Koizumi: As additional fiscal measures, would I organize for example a supplementary budget? Well, in the past, there have been suggestions to expand public works investment in order to create greater demand. We are not thinking of that sort of measures, and we are not thinking in terms of the budget, or even in terms of an ad hoc budget. Except for totally untoward events, events that cannot be anticipated at all at this time, then of course things will be different. However, at this moment, I have no intent to incorporate measures to keep up the share prices or to jack up demand through public works investment. Even if such an ad hoc budget is to be put together, I have no intention of adopting such fiscal measures.

7. Question on Humanitarian Assistance to North Korea

   Question: Regarding the humanitarian assistance to North Korea, I think you have indicated that in an interview recently. I think it will be very difficult to have national support on such humanitarian assistance. Are you thinking of some different ways of providing that?

   Prime Minister Koizumi: My answer in the interview may have been taken that humanitarian support may be considered depending on the circumstances, and some press immediately wrote that I was thinking of rice assistance. I did not say a word about rice assistance. However, some unpredictable disasters may occur in any country, and if a people fall into an unexpected and unpredictable predicament, we cannot sit back idly. So, whatever the country may be, be it North Korea or any other country, we shall of course extend a helping hand by providing humanitarian assistance. We have to do that by consulting in depth with the international institutions. I spoke of humanitarian assistance, but I think you are jumping the gun if you think that directly means rice assistance. Thank you very much.