A successful Moon-Kim summit could help pave the way for the Trump-Kim meeting, which would be the first between a sitting US president and a North Korean leader.
Experts said it would be hard for the two sides to sign the peace treaty, given the differences of opinion on how to sign the deal.
The report said the focus of the inter-Korean summit's agenda would be threefold: denuclearization of the Korean Peninsula, a peace deal, and progress in inter-Korean relations.
Moon Chung-in said Kim's desire to improve livelihoods at home by developing the economy while bolstering his nuclear capacity, could be his motive for the recent outreach. But Pyongyang has insisted that the two Koreas should sign a non-aggression treaty and a peace treaty should be signed between North Korea and the US. "If he fails to make his people happy, the safety of the North Korean system can not be guaranteed".
Since taking power upon the death of his dictator father in late 2011, Kim has orchestrated a series of high-profile executions, purges and dismissals to strengthen his grip on power.
When South Korean special envoys visited North Korea's capital last month, Kim agreed to meet Moon Jae-in in the Koreas' third-ever leaders' summit and expressed his willingness to hold "candid" talks with the United States about "denuclearization of the Korean Peninsula".
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The first sign that 2018 would be different from 2017, when Kim Jong-un conducted 17 missile tests and a nuclear experiment, was on January 1 during his New Year's speech. Kim also said he has no reason to possess nuclear weapons if he has a credible security guarantee and doesn't face outside military threats, according to the South Korean envoys.
It was also a rapprochement with Xi, the leader of North Korea's most important ally and economic lifeline, who disapproved of Kim's nuclear tests. These included possible "preventive" strikes, whether through full-scale operation or by giving North Korea a "bloody nose", both of which might flare up into unspeakably unsafe consequences.
No peace treaty has been signed to replace the 1953 armistice that ended the Korean War, and the USA and North Korea have been at loggerheads since formal hostilities ended. -South Korean military exercises.
He stressed that Seoul will therefore make efforts to communicate with the United States as the country and North Korea work on their summit.
South and North Korea have discussed plans to announce an official end to the military conflict between the two countries that are still technically at war, the Munhwa Ilbo newspaper reported, citing an unidentified South Korean official.
"If they can agree on the principle that the two sides will co-operate to denuclearise the Korean peninsula and establish permanent peace, we can call it a success", Prof Yang added.