The North Korean authorities in recent months have begun to fight against the depreciation of the local won with a ban on the circulation of foreign currencies, writes Associated Press citing South Korean intelligence.
In October, one of the largest underground entrepreneurs, who controlled a significant part of the currency exchange in Pyongyang, was arrested and executed. Hundreds of free markets in the country, through which most of the retail trade in the republic passes, were banned from accepting dollars and yuan.
Earlier, the head of the DPRK Kim Jong-un allowed enterprises and peasants to sell freely up to 70 percent of its products, which led to the creation of a semblance of a market economy. But, judging by the latest actions, it was decided to take such spontaneous trade under tighter control in order to prevent the collapse of the national currency.
Analysts expect such plans to fail as citizens try to keep as much foreign currency as possible and wait out the current restrictions.
In November to interfere in the process of buying dollars began central bank of Kazakhstan. The regulator rejected or delayed some bids to buy dollars in order to support the tenge.