Following the successful transfer of North Korean funds from Macao's Banco Delta Asia bank, attention is on whether the communist state will begin implementing initial denuclearization steps in accordance with the six-way agreement of February 13th.

Pyongyang has repeatedly said that it would implement the initial steps once the BDA issue is resolved. It is expected to work out an agreement with the International Atomic Energy Agency on steps to shut down its nuclear facilities in Yongbyon. Once the shutdown is complete, IAEA inspectors will seal the facilities and install surveillance cameras at the site.

A South Korean official says that the length of the process is up to the North, urging it to stick to its commitment.

The resumption of the six-party nuclear talks will likely be timed with the shutdown process, in which case the talks may reopen late this month or early next month.

The resolution of the BDA deadlock also means that Seoul is likely to lift its suspension on the delivery of 400-thousand tons of rice aid to the North.