Why are foreign exchange rates soaring in North Korea?
Global inflation, signs of looming food shortages may be driving forex market in DPRK
In recent weeks, exchange rates for both the U.S. dollar and the RMB have spiked in North Korea. There are several reasons why this might be happening, some benign or even positive, others far less so.
North Korean market players appear to be responding to both global and domestic signals. Demand from well-informed and/or well-connected traders are likely driving prices up in the forex market, but there is also reason to believe the won’s falling value is being caused by food shortages and other supply-side issues.
An NK Pro analysis indicates:[/p
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