25/09/2012 03:05:00

Cash-Starved North Korea Secretly Sells Gold

SEOUL -- North Korea has been secretly selling gold to make up for shortages of hard currency after it spent millions of dollars celebrating the 100th birthday of its founder, a news report said Tuesday.

The Chosun Ilbo daily quoted sources in China as saying that the impoverished communist state had cashed more than two metric tons of gold worth $100 million in China over the past year.

"North Korea has been exporting not only gold ingots it had obtained from mines or stored in government agencies but gold trinkets it had collected from ordinary people," an ethnic Korean businessman told the daily.

"North Korean trading companies in China have been cashing the gold in secrecy," the source said. "For this purpose, North Koreans are compelled to sell gold trinkets to government authorities."

The movement reportedly began after Kim Jong Eun took the reins from his late father Kim Jong Il, who died of heart attack in December last year.

North Korea has been starved of hard currency after economic exchanges with South Korea came to a halt following its alleged torpedoing of a South Korean warship with the loss of 46 lives in March 2010, the report said.

It was estimated to have spent millions of dollars on celebrating Kim Il Sung's 100th birthday in April this year and launching a space rocket in a disguised test of a long-range missile.

North Korea produces up to two tons of gold every year in mines, mostly in the northwestern provinces.

The North is to convene its rubber-stamp parliament Tuesday in a rare second session of the year.

Experts said the Supreme People's Assembly was likely to approve measures aimed to rejuvenate its moribund socialist economy with moderate market-style incentives in order to support the third-generation succession.

(END) Dow Jones Newswires

September 24, 2012 22:05 ET (02:05 GMT)

Post comment

Related debate

  • 1 week
  • 1 month
  • 1 Year
15 Apr
GEN
Beklager Drama .. jeg orker simpelthen ikke dit barnlige og løgnagtige pjat. Men at starte en ny trå..
19
12 Apr
 
Der var økonomisk topmøde i Washington D.C. i denne uge. Her blev diskuteret en del økonomiske probl..
15
11 Apr
 
På opfordring af Dolly skal jeg hermed give mit bud på markedet lige nu. Nate Silver, den amerikansk..
15
16 Apr
TOPO
Jeg ser et par forskellige dynamikker udspille sig:   1) Hvad er fusionspartneren, Bioalliance, reel..
14
13 Apr
OMXC20
Når man har købt en aktie vil man gerne se den stige. Helst straks. Gør den ikke det sniger tvivlen ..
14
13 Apr
OMXCPI
Ja, risiko for borgerkrig i Ukraine. Sådan går det med stater, der mangler sammenhængskraft og hvor ..
13
14 Apr
VELO
Det er ikke en gåde. På mødet i marts fik Veloxis de obligatoriske 180 dages spørgsmål. I det sekund..
10
16 Apr
VWS
Vestas får jo ordrer på 13-14% af alle verden vindmølleprojekter, så alene derfor kan det jo ikke væ..
9
14 Apr
 
Bølgerne har tidligere herinde gået højt om det efter nogles menings ligegyldige (worst case: ødelæg..
8
14 Apr
FING-B
Sæt Jer nu ind i sagen - både din kone + dig selv, XO / keep-it../div. nicks.   Dagens udmelding fal..
8

Tech Companies Send Criticism Along With NSA-Related Data -- Update

04/02/2014 00:06:00
By Danny Yadron Technology companies including Google Inc. and Microsoft Corp. released new figures on the amount of data requests they received from U.S. ..

U.S. Hot Stocks: Hot Stocks to Watch

03/02/2014 14:07:00
Among the companies with shares expected to actively trade in Monday's session is Herbalife Ltd. (HLF). Herbalife Ltd. (HLF) raised its fourth-quarter outl..

Pfizer Study Meets Primary Endpoints

03/02/2014 13:05:00
Pfizer Inc. (PFE) said Monday that a Phase 2 trial of its advanced breast cancer treatment met its primary endpoint. Pfizer said a study comparing the effec..

Most read news

  • 24 hours
  • 48 hours
  • 1 week
1
GSK and Genmab Receive FDA Approval for Arzerra® (ofatumumab) as First-Line Treatment in Combination with Chlorambucil for Patie
2
Airbus Defense & Space, AREVA, Nissan, Renault & Volkswagen will speak at the ESI Global Forum
3
Corio NV : Corio announces resolutions of AGM of 17 April 2014
4
SOCIETE GENERALE : 2013 REMUNERATION POLICIES AND PRACTICES REPORT
5
American Insurance Association Statement on President's Working Group Report on TRIA
Euroinvestor around the globe: Euroinvestor.dk | Euroinvestor.se | Euroinvestor.no | Euroinvestor.fr | Forexinvestor.com| Wisselkoersen.nl | Valuta.se | Valutaveksel.no | Divisas.es | Valute.it
Copyright Euroinvestor A/S 2014   Disclaimer and Terms of Use
Quote information is delivered by Interactive Data.
Data is delayed 15-20 minutes according to the distribution agreements set by the different exchanges.
 
18 April 2014 11:35:20
(UTC) Dublin, Edinburgh, Lisbon, London
Version: LiveBranchBuild_20140324.1 - EUROWEB2 - 2014-04-18 12:35:20 - 2014-04-18 11:35:20 - 1000 - Website: OKAY