In the latest issue of Dorimaga, Square Enix designer Tetsuya Nomura--known as the character designer for past Final Fantasy titles and Kingdom Hearts--made a number of comments regarding possibilities of sequels.
On the issue of a Kingdom Hearts sequel, Nomura stated that he would like to clarify that a sequel has not been officially announced at the current time. Nomura said that although he hopes that the title will be developed, Square Enix and Disney have not made any agreements yet. However, Nomura hinted that the possibilities are good, saying that there were already some talks with Disney about making a sequel while Kingdom Hearts was in production.
On the possibility of a Final Fantasy VII-2, Nomura said that the chances of it happening are unrealistic. Nomura explained that Final Fantasy X-2 was able to be released since it utilized the Final Fantasy X engine, allowing production of the game in one year at only half the usual development scale of a Final Fantasy title. However, to make Final Fantasy VII-2, everything would most likely have to be created again from scratch since the data from the original Final Fantasy VII cannot be used. Thus, producing a Final Fantasy VII-2 would require the development scale of a normal Final Fantasy title.