U.S. President George W. Bush has signed a law to promote human rights in North Korea and provide humanitarian aid to citizens and refugees of the Stalinist state.

The White House said in a statement Tuesday that Bush had signed the North Korean Human Rights Act of 2004.

Under the law, Washington is to provide grants to private, non-profit groups to support programs promoting human rights, democracy, rule of law, and the development of a market economy in North Korea.

The law also enables Washington to spend at least 20 million dollars a year until 2008 for humanitarian aid to North Korean citizens and refugees.

The law requires strict monitoring of the aid to ensure that it is not diverted to the North's military, and establishes a special envoy to oversee North Korean human rights conditions.

The legislation also paves the way for North Koreans to seek refugee status in the United States and provides four million dollars annually for expanding American radio broadcasts into the North to promote democracy and human rights.