Russia has agreed to forgive 90 percent of the $10 billion it is owned by North Korea. This is apparently part of a deal to get North Korea to allow Russia to build a natural gas pipeline to South Korea. This project will bring North Korea a lot of money during construction and when in use. Clearing out old debts is also important because North Korea reneged on billions of dollars of foreign debts in the 1990s and ruined its ability to borrow from foreign banks.