North Korea's KCNA state press agency says the border has been re-opened for family visits from South Korea. The move is an important gesture at a time of rising tension between the two countries.

It follows a meeting between North Korean leader Kim Jong-il and the chairwoman of the board of South Korea's giant Hyundai company. It was the first time for two years that Kim Jong-il had held talks with a prominent figure from South Korea.

North Korea has also announced that the whole country is on high alert because of joint military exercises taking place between the United States and South Korea. Pyongyang describes the exercises in South Korea as major threat.

photo: North-South Korean border (ANP/EPA)