The UN Security Council is to order sanctions against North Korea’s space agency this week, in a bid to condemn Pyongyang’s rocket launch last month.

The UN Security Council is to order sanctions against North Korea’s space agency this week, in a bid to condemn Pyongyang’s rocket launch last month.

The resolution, which also targets other government entities and individuals linked to North Korea's nuclear program, could be passed by the 15-member council as early as Wednesday, Agence France Presse a diplomatic source as saying.

"The resolution condemns the launch and reiterates the Security Council's previous demands that North Korea abandon its nuclear weapons program and not proceed with further launches," the diplomatic source said, speaking on condition of anonymity because the measure has not yet been made public.

It "imposes new sanctions on North Korean companies, and government agencies, including North Korea's space agency responsible for the launch, and several individuals," the source added on Monday.

North Korea denied accusations by the United Nations and the international powers that the rocket was a ballistic test, saying the launch on December 12 was an observation satellite.

The proposed resolution updates lists of nuclear and ballistic missile technology banned for transfer to and from North Korea.
It includes "new provisions targeting North Korea's illicit procurement efforts, in particular its smuggling of sensitive items that could contribute to the prohibited programs," the diplomat said, declining to provide further details.

The United States and China have been negotiating the new measures since North Korea staged its missile launch.
Despite the international condemnation, China has sought to shield its ally against major new action. The United States, supported by South Korea and Japan, had sought tough new punishment of the North Korean government.