Revisiting a previously published chapter examining the 1965 Japan–ROK Basic Treaty and postwar settlements.
This piece reviews compensation payments, relinquished assets, and how funds were used for national development.
It explores how historical narratives and political choices shaped ongoing disputes.

2019-01-14
However, after the treaty was concluded, South Korea did not distribute the settlement funds received from Japan to individual compensation recipients, but used them for national development.

Furthermore, Japan relinquished the assets it had left in Korea before the war.
Chapters published on November 14 and November 29, 2018 discussing this totaled eight hundred million dollars, and when converted into present-day value, they have ranked second, third, and fourth on Ameba in search results.
Taken together, they form an overwhelming first place.

This is a chapter originally published on July 25, 2018.
Emphasis in the text is mine.
The following continues from the previous chapter.

◆Japan had no obligation to apologize or pay compensation to Korea
http://ccce.web.fc2.com/imgk/oda.html

Korea was not merely a victim but also a participant in Japan’s war.
Internationally speaking, the Japan–ROK Basic Treaty is an exceptional case in which both state compensation and individual claims were finally and completely settled.

Japan–ROK Basic Treaty
Under the 1965 treaty, Japan paid 300 million dollars in grants, 200 million in loans, and 300 million in private-sector loans.
This totaled 800 million dollars.
As this amount reflects values at the time, we convert it to present-day value.

Focusing only on the 300 million dollar grant portion:
Converted to yen: 300 million dollars × 360 yen per dollar = 108 billion yen.
Adjusted for prices: 108 billion yen × 10 = approximately 1.08 trillion yen.

If divided among 900,000 supposed compensation recipients as claimed by Korea—700,000 laborers and 200,000 comfort women—the result is approximately 1.2 million yen per person.

Now the question is whether this amount was high.
It is often said that Germany provided sufficient postwar compensation.
Germany’s compensation for forced laborers is estimated at 300,000 to 800,000 yen in present value.
Even the highest compensation for Jewish slave laborers was about 800,000 yen.

Objectively, Japan’s postwar compensation to Korea was at a very high level.
The total of 800 million dollars exceeded Korea’s national budget at the time by 2.3 times.

In addition, this compensation covered the entire Korean Peninsula, including the North, as requested by the South Korean government.

Japan also relinquished prewar assets in Korea.
This action, comparable to cases where British assets were returned during India’s independence, constitutes valid postwar settlement.

The amount was enormous: according to the Civil Property Custody Office, non-military assets totaled 5.3 billion dollars.
Thus Japan provided 5.3 billion dollars in prewar assets and 800 million dollars in postwar compensation.

The treaty clearly states:
“Problems concerning property, rights and interests have been settled completely and finally.”

However, after the treaty, the South Korean government did not distribute the funds to individuals but used them for national development.
The so-called “Miracle on the Han River” was fueled in part by these funds.

Remarkably, the Korean government has not informed its citizens about the treaty.
Perhaps to conceal the diversion of funds, or to continue fueling anti-Japan sentiment.

As a result, many Koreans still believe Japan has not fulfilled its obligations and continue to file lawsuits.
This remains one of the major sources of friction between Japan and Korea.

This matter must be understood not only by Koreans but also by the Japanese people.

To be continued.