BEIJING, March 19 (Xinhua) -- The United States agreed to transfer the frozen fund related to the Democratic People's Republic of Korea (DPRK) to a Chinese bank in Beijing, a U.S. official said here Monday before six-party nuclear talks resumed in Beijing.

    "We have assurances the funds are going to be transferred to a bank in Beijing to be used for humanitarian and educational purposes," the U.S. Deputy Assistant Treasury Secretary Daniel Glaser said.

    The governments of United States and DPRK have reached understanding on the disposition of DPRK related funds frozen at Macao-based Banco Delta Asia (BDA), according to a statement issued by the U.S. treasury official.

    The DPRK has proposed the transfer of the roughly 25 million U.S. dollars frozen in BDA into an account held by DPRK's Foreign Trade Bank at the Bank of China in Beijing, the statement said.

    The DPRK has pledged, within the framework of the six-party talks, that these funds will be used solely for the betterment of its people, including for the humanitarian and educational purposes, it said.

    "We believe this resolves the issue of the DPRK-related frozen funds," Glaser said.

    The disposition of the frozen assets has always been and remains a decision by the Macao authorities to be taken in accordance with the law and the DPRK need to work out the legal and technical intricacies of the arrangement with Macao, Glaser said.

    The Treasury has communicated to both the Macao and Chinese mainland the United States' support of this arrangement, he said.

    The U.S. and the DPRK were divided over the issue of BDA which the U.S. suspected of helping the DPRK launder money from illicit activities.

    Due to the bank dispute, the DPRK walked out of the six-party talks at the end of 2005 and stalled the talks for 13 months during which it conducted a nuclear test.

    Since last December, the United States and the DPRK have held two rounds of negotiations on this issue in Beijing.

    As part of the nuclear deal reached during last round of the six-party talks in Beijing on Feb. 13, the United States agreed to settle the financial dispute with the DPRK within 30 days.