North Korean leader Kim Jong Un called for his country to become an "economic giant" in his first new year's message today.
In the first televised new year's message by the country's leader since his grandfather Kim Il Sung 19 years ago, he called for reunification of the Koreas, warning that confrontation would lead to war.
Mr Kim pointed to the success of the long-range rocket launch last month that reportedly carried a satellite into space.
"Let us bring about a radical turn in the building of an economic giant with the same spirit and mettle as were displayed in conquering space," said Mr Kim.
The US, Japan and South Korea claim the launch was a cover for banned missile tests and are pushing for condemnation in the UN security council.
Mr Kim pledged to carry on the military first policy.
"The sector of defence industry should develop in larger numbers sophisticated military hardware of our own style that can contribute to implementing the party's military strategy," he said.
"Only when it builds up its military might in every way can it develop into a thriving country and defend the security and happiness of its people."
South Korea's president-elect Park Geun Hye said she would use her five-year term to boost aid and engage with North Korea.
Foreign Minister Alistair Burt's admission that the Cameron government has "supported" a survey of attitudes to US drone strikes in Pakistan's tribal areas amounts to a tacit admission of British involvement.