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
20 Nov
VELO
Nogle brugere (Pav3 og ebdrups især) har skrevet lidt om FDA's afvisning af Envarsus. Jeg vil gerne ..
47
22 Nov
VWS
Hejsa Mena.  nu har jeg observeret at du kommer i meget spændende diagologer med de fleste skribente..
37
19 Nov
BIOPOR
  Her følger mine tanker efter Bioporto Q3 regnskab samt efterfølgende investor præsentation   Omsæt..
22
18 Nov
VWS
Normal 0 21 false false false DA X-NONE X-NONE ..
22
22 Nov
VWS
tauser, det korte svar er:......................................................................... ..
21
20 Nov
OW
Jeg er rystet over at OW Bunkers bestyrelse er rystet.   OW Bunkers bestyrelse har i dag via Altor ..
21
19 Nov
VWS
stop nu det børnehave pjat i er jo ikke en døjt bedre selv. Pokerchamp har ændret fint stil fra tidl..
17
18 Nov
EI
Opsang til EI   Det er efterhånden en børnehave i mange af trådene herinde, og jeg kan ikke forstå a..
17
18 Nov
GEN
Nå, GEN fik ikke sneget sig ind i late-breaking abstracts på en Gilead sponsoreret idelalisib+ofatum..
15
16:41
OW
Thomas Eriksson, som er chef for investeringsbanken Carnegie, er blevet kontaktet af Finansinspektio..
14

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
Announcement No. 17
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.
 
23 November 2014 18:35:50
(UTC) Dublin, Edinburgh, Lisbon, London
Version: LiveBranchBuild_20141120.1 - EUROWEB6 - 2014-11-23 19:35:50 - 2014-11-23 18:35:50 - 1000 - Website: OKAY