N.Korea Allowing Private Markets


photo credit: World Health Organization

After North Korea’s catastrophic currency revaluation in November, the North Korean government has finally lifted all restrictions on private markets in a desperate attempt to curb starvation.
Washington Post reports that the North Korean government has acknowledged its failure to fix the food shortages that have devastated the country and is now welcoming free-market trading in an attempt to reduce the large number of deaths by starvation.  This is a huge change for North Koreans, who used to be restricted in how and when they could spend their money, and is indicative of how dire the situation  has become.

As of May 26, the government no longer forces markets to close at 6 or 7 p.m., has dropped the rule restricting customers to women older than 40 and has lifted a ban on certain goods being sold. An official in the city of Pyungsung informed the Good Friends humanitarian group that the living standard had “drastically decreased since the currency exchange, and the government cannot provide distribution so they have to bring the market back up.”

The food situation was also probably affected by the Cheonan torpedo incident, as South Korea cut all trade and food-aid also declined dramatically. Still, this may be a sign that North Korea is becoming more open to change-even if it is out of desperation.