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
28 Jul
FLS
Dine bud på aktien svinger sgu betydeligt mere.......så foreslår vi får skiftet dig ud.
24
23 Jul
OMXC20
  I EPS og cash flow del 1 gennemgik jeg de udfordringer, der er ved anvendelsen af disse til brug f..
22
26 Jul
VALE
  Måske ikke helt korrekt aktiemarkering, for det handler ikke om Vale specifikt. Jeg finder, som t..
21
23 Jul
OMXC20
Kasper, nej...................   Inden man i det hele taget skal foretage vurderinger som disse ( in..
18
24 Jul
I:DJI
Forleden var der heftig debat om trackrecord, hvor Alfinvest, Mena m.fl. forsøgte at overgå hinanden..
17
23 Jul
OMXC20
Jeg forstår ikke hvorfor smainvestorer tror, at de skal gakke hen og gøre som Warren Buffet. Det kan..
16
28 Jul
VWS
  Hej Debattører på Euroinvestor       Lad det være sagt med det samme. Jeg har lånt nogle Vestas ak..
15
24 Jul
VWS
Kunne man forestille sig at Barcleys ved mere om PTC ordningen og hvordan det normalt foregår, end v..
13
28 Jul
VWS
Hej Maui,   Tak for et nuanceret indlæg, med en meget fin beskrivelse af dine tanker omkring Vestas ..
11
26 Jul
VWS
Nynazist A/S-MuslimA/S, gider i ikke tage jeres diputs i et andet forum, det hører ikke til her
11

Form 8.3 - Royal Dutch Shell plc

28/07/2015 14:21:09
FORM 8.3 PUBLIC OPENING POSITION DISCLOSURE/DEALING DISCLOSURE BY A PERSON WITH INTERESTS IN RELEVANT SECURITIES REPRESENTING 1% OR MORE ..

Alliance Trust PLC : Net Asset Value(s)

28/07/2015 13:46:03
ALLIANCE TRUST PLC At the close of business on Monday 27 July 2015, the unaudited net asset value per ordinary share of 2.5p, valued on a bid price bas..

Investec Bank plc - 38.5 - Aer Lingus Group plc

28/07/2015 09:10:52
Ap24 FORM 38.5(a) IRISH TAKEOVER PANEL DISCLOSURE UNDER RULE 38.5(a) OF THE IRISH TAKEOVER PANEL ACT, ..

Most read news

  • 24 hours
  • 48 hours
  • 1 week
1
ALTRAN TECHNOLOGIES acquires SiConTech, one of the fastest growing Indian technologies firms, specialised in semiconductor design services
2
Michelin : Financial Information for the Six Months Ended June 30, 2015
3
Orange : H1 2015 financial results
4
Sanofi and Regeneron Launch Major New Immuno-Oncology Collaboration
5
Interim Report Q2/2015: UPM’s good progress continued in Q2, with higher profits year-on-year

Buy and sell signals

  • Trend
  • Moneymachine

Copyright Euroinvestor A/S 2015   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.
 
29 July 2015 01:35:05
(UTC) Dublin, Edinburgh, Lisbon, London
Version: LiveBranchBuild_20150716.1 - EUROWEB7 - 2015-07-29 02:35:05 - 2015-07-29 01:35:05 - 1000 - Website: OKAY