North Korea said Friday it would encourage international investment in a mountain resort, weeks after threatening to scrap its exclusive deal with the South Korean firm that helped fund the project.

The special zone for international tours will be set up around Mount Kumgang under a decree issued by parliament Friday, the North’s official news agency said.

The resort on the east coast was largely developed by the South’s Hyundai Asan and was the two countries’ first joint project, designed to foster reconciliation.

The trademark suit sported by North Korean leader Kim Jong-Il is now in fashion worldwide thanks to his greatness, Pyongyang’s official website said Wednesday.

Uriminzokkiri, quoting an article in communist party newspaper Rodong Sinmun, said the modest-looking suits have gripped people’s imagination and become a global vogue.

“The reason is that the august image of the Great General, who is always wearing the modest suit while working, leaves a deep impression on people’s mind in the world. To sum it up, that is because his image as a great man is so outstanding.”

The article quoted an unidentified French fashion expert as saying world fashion follows Kim Jong-Il‘s style.

North Korean leader Kim Jong Il – who shuns air travel – has six luxurious special trains equipped with conference rooms, bedrooms and high-tech communication facilities, a South Korean newspaper says.

Two luxury yachts, which were about to be shipped to China for the eventual use of North Korean leader Kim Jong-Il, have been impounded by Italian police in Viareggio.

The yachts are valued at €13m, Ibinews (International Boat Industry) reports.

Italy’s financial police, along with help from Austrian authorities, traced the yachts under a sting called Operation Flybridge.