WASHINGTON — Chinese currency and U.S. dollars have flooded North Korea as the country’s economy flounders. Reuters reports that this showed how desperate the North Koreans have gotten after the continuation of hermit policies that cuts the country off from the rest of the modern world.
The Chinese yuan and American dollar are used more in North Korea and has led to the unprecedented growth of the black market. Because of the hermit-like conditions surrounding North Korea, the impact is yet to be determined.
It seems that the government is capitulating to this recent economic trend and cannot rein in the black market unless draconian measures are undertaken. A South Korean analyst at Samsung Economic Research Institute put the value at $2 billion this past April out of an economy worth $21.5 billion.
North Korea is a thorn in the side of South Korea, Japan, China and the U.S. Its escalation earlier this year enraged South Korea and nearly led to an all-out war. North Korea also still holds U.S. citizen and aid worker Kenneth Bae hostage in ongoing negotiations.