December 03, 2022
Analysis

How North Korea’s rock-bottom credit rating hampers major development plans

North Korea must take reforms more seriously to capitalize on high financial literacy in the country, experts say

North Korea has long had a difficult relationship with international financial institutions. Access to credit and debt has remained elusive since the country first defaulted on its debt in the 1970s, while U.N. sanctions have further curtailed the regime’s ability to raise any sort of cash.

There is clearly at least a baseline level of financial knowledge amongst the North Korean elite, experts told NK News, which could in theory evolve into a professional banker class that participates in financial markets – if the will was there at a higher level.