In October, North and South Korea agreed to begin work on reconnecting inter-Korean railways and roads, almost 70 years after they were severed.
A groundbreaking ceremony has now taken place in North Korea, attended by delegates from each country.
Around 100 South Korean officials, politicians and people displaced by war came to the border town of Kaesong for the event.
South Korea’s Unification Ministry also said a delegation of 100 North Koreans attended, as did officials from the United Nations, China, Russia and Mongolia .
However materials needed to complete the project are subject to sanctions.