South Korea approved on Wednesday the use of 2.86 billion won ($2.64 million) to bankroll the cost of hosting hundreds of visiting North Koreans during the Pyeongchang Winter Olympics.

The Ministry of Unification said the funds will pay for accommodations and food for North Korea's cheering squad, orchestra, taekwondo performers, journalists and other supporting personnel visiting South Korea. The group totals 424 North Koreans.

South Korean President Moon Jae-in invited North Korean athletes, supporters and officials to the Olympics in an attempt to lower months of tension between Pyongyang, Seoul and Washington over North Korea's nuclear and missile programs.