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VLADIVOSTOK, September 5. /TASS/. The escalation of conflict over North Korea may destabilize global markets, but investors hope that a reasonable compromise will be found, head of the Russian Direct Investment Fund Kirill Dmitriyev said on the sidelines of the Eastern Economic Forum (EEF).
"Any escalation will seriously destabilize markets and will have significant effect on the region," he said. "Most investors hope that an appropriate approach to dialogue will be adopted," Dmitriyev added. He pointed out that in the current situation, economic cooperation with South Korea was particularly important so there was a need to boost it.
"Undoubtedly, the number of investors who are keeping an eye on the situation has been growing, the situation is developing rapidly, but nevertheless, everyone is hopeful that dialogue and reasonable talks will lead to a reasonable compromise," he said.
The situation on the Korean Peninsula remains tense as Pyongyang continues to develop its nuclear and missile programs. In July, North Korea conducted ballistic missile tests, which provoked a sharp response from the United States, Japan and South Korea. On August 29, North Korea test-fired another missile. On September 3, North Korea announced a successful test of a hydrogen bomb that is capable of being used as a warhead on an intercontinental ballistic missile. China condemned Pyongyang’s actions, while South Korea and the United States said that a military response was possible. Russia’s Foreign Ministry called on all parties to immediately resume dialogue and negotiations saying that it was the only way to find a comprehensive solution to the Korean Peninsula issues.
The Third Eastern Economic Forum will take place in Vladivostok on September 6-7. As many as 24 nations have confirmed their participation in the event, including China, Japan, Australia, Canada, the United States, the United Kingdom and Germany.
The 2016 forum brought together 3,500 participants, and included 111 investment projects. The participants signed 216 agreements to the tune of 1.85 trillion rubles ($31.65 bln). Russia’s TASS news agency is the forum’s main information partner and the official host photo agency. In addition, TASS is the operator of the EEF-2017’s presentation zone.