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
14 Apr
 
Berlingske Business har smidt den sjoveste video med en gut der "snakker" om millionærklubben.. Hold..
42
11 Apr
 
Når man starter på en videregående uddannelse, skal man til at mestre den akademiske disciplin "at t..
22
16 Apr
OMXC20
For at undgå generelle gentagelser og spild af tid bedes alle notere at aktierne falder da der pt sk..
21
17 Apr
EXQ
http://www.proinvestor.com/index.php?p=debat_1&postid=72159   Jeg har lavet en analyse af Exiqon som..
20
16 Apr
BULL-DAX-X5-NF
Jeg læste for nyligt et eller andet sted nogen der vil teste brugen af bull/bear produkter, allerede..
20
13 Apr
VWS
jeg ville være DE meget taknemmelig hvis jeg ejede vestas.....Da kun fjolser der tror ham svenskeren..
20
12 Apr
 
MENA , man skal ikke koncentrere sig så meget om hvad andre tjener , siger eller skriver . Man skal ..
16
14 Apr
VWS
Jennis69 skrev i morges et indlæg med samme overskrift som mit (emne nr. 295047). Han fortalte det i..
14
13 Apr
VWS
ja, det er bare dejligt, at DE fik bygget fabrikker i USA og andre steder, opgraderet alle møller, u..
12
13 Apr
HARB-B
Hej Spekulant og EliotSpitzer,   At Harboes Bryggeri er en stigende aktie kan ingen vaere i tvivl om..
12

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. ..

#

EuroInvestor: In Focus
#

#

EuroInvestor: In Focus
#

Most read news

  • 24 hours
  • 48 hours
  • 1 week
1
PRIVATE EQUITY INVESTOR PLC - Result of GM
2
Biotech sector continues to outperform - strengthened balance sheets will sustain the industry's solid growth
3
Westar Energy schedules conference call to discuss 1st quarter results.
4
Nestlé three-month sales: 4.4% organic growth, full-year outlook confirmed
5
Bulletin from Ratos's AGM 16 April 2015

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.
 
18 April 2015 05:49:40
(UTC) Dublin, Edinburgh, Lisbon, London
Version: LiveBranchBuild_20150414.1 - EUROWEB5 - 2015-04-18 06:49:40 - 2015-04-18 05:49:40 - 1000 - Website: OKAY