North Korea’s Currency Debacle

Fight disinformation: Sign up for the free Mother Jones Daily newsletter and follow the news that matters.

Barbara Demick reports on the aftermath of the great North Korean currency debacle:

North Koreans who recently fled to China say many of their fellow citizens are losing faith in the regime of Kim Jong Il after a disastrous currency revaluation that wiped out savings and left food scarcer than at any time since the famine of the mid-1990s, when as many as 2 million people died.

….By the end of December…Chinese traders who had previously supplied markets didn’t want to come into the country because of bans imposed on the use of foreign currency and the wildly fluctuating exchange rates. Food remains in such short supply that a single egg costs a full week’s salary for many. Rice remains largely unavailable at state stores and can be purchased only illegally at about the equivalent of more than two weeks’ salary.

One North Korean woman interviewed said common laborers under the new system were making about 2,500 won per month, barely more than $1 at the new exchange rates prevailing on the black market. Cooking oil is a luxury, so unaffordable that people buy only a few grams at a time in small plastic bags.

More at the link. Apparently public adoration of Kim Jong Il is still the order of the day, but it’s finally taken a hit. And maybe his son’s succession chances as well.

Fact:

In-depth journalism that investigates the powerful takes real money and is so damn important right now.But it doesn’t take a Mother Jones investigation to know that billionaires and corporations will never fund the type of reporting (like they do politicians) we do that exists to help bring about change. Instead, our mission-driven journalism is made possible by people power, and has been for 46 years now since our founding as a non-profit.

In “TITLE TK” Monica Bauerlein writes about the perilous moment we’re in, and why it’s so important that we raise $325,000 by the time November’s midterms are decided so we can be ready to throw everything we have at the big issues facing the nation no matter what happens. Please help MoJo’s people-powered journalism with a donation today.

$400,000 to go!

payment methods

Fact:

In-depth journalism that investigates the powerful takes real money and is so damn important right now.But it doesn’t take a Mother Jones investigation to know that billionaires and corporations will never fund the type of reporting (like they do politicians) we do that exists to help bring about change. Instead, our mission-driven journalism is made possible by people power, and has been for 46 years now since our founding as a non-profit.

In “TITLE TK” Monica Bauerlein writes about the perilous moment we’re in, and why it’s so important that we raise $325,000 by the time November’s midterms are decided so we can be ready to throw everything we have at the big issues facing the nation no matter what happens. Please help MoJo’s people-powered journalism with a donation today.

$400,000 to go!

payment methods

We Recommend

Latest

Sign up for our free newsletter

Subscribe to the Mother Jones Daily to have our top stories delivered directly to your inbox.

Get our award-winning magazine

Save big on a full year of investigations, ideas, and insights.

Subscribe

Support our journalism

Help Mother Jones' reporters dig deep with a tax-deductible donation.

Donate