North Korea bans foreign currencies

[The Northerner]

Source: Associated Press

SEOUL — North Korea has banned the use of foreign currency, another sign its hard-line communist government is intent on reasserting control over the country's nascent market economy.

Reports say the decree warns of severe punishment for anyone using U.S. dollars, euros, yuan and other non-North Korean currencies. Foreign currencies previously were accepted in some shops, restaurants and other outlets, particularly those catering to foreigners.

The order, issued by North Korea's state security bureau and going into effect on Jan. 1, aims to "forbid the circulation of foreign currency," China's state-run CCTV television said in a brief report on late Wednesday.

The Daily NK, a Seoul-based online news outlet, said the order prohibits all individuals and organizations apart from banks from possessing foreign currency. It said the decree was posted in public and at workplaces, and went into effect on Dec. 28.

Read more: http://www.usatoday.com/money/world/2009-12-31-north-korea_N.htm?csp=34

[backscatter712]

1. Ah, how's N. Korea's bold experiment in autarky going?

Still people starving by the millions?

[JonQ]

15. Seems like it

They average about 6 inches shorter than their genetically identical neighbors to the south. I'm guessing nutrition has some role in that.

Although if asked they'd probably say it's because Kim jong ill commands them to stop growing at a certain height (to save on clothing and construction costs) and they dutifully obey.

[izquierdista]

2. How about beads?

Or maybe that classic medium-of-exchange used in prisons -- cigarettes.

[LiberalFighter]

3. Tell North Korea we support their ban.

Just don't expect foreign countries to sell anything to them and receive their currency in return.

[AndyA]

4. What a way to go, North Korea!

Isolate yourselves. It's been working so well so far, might as well just keep pushing it, eh?

:eyes:

I'm sure this will do a lot to settle down ALL OF THE UNHAPPY NORTH KOREAN PEOPLE. (If you aren't one of the top government officials, you're unhappy.)

[dipsydoodle]

5. That's to help prevent a black market in foreign currency

with ramped up exchange rate on their yen / noodles / fried rice whatever. Was similar in most East European countries back in the sixties / seventies and was also done to maintain an official exchange rate. So - its hardly a new thing. Given that its not exactly a tourist destination its hardly likely to have any bearing on their ability to import/export as a country.

BTW - right through the eighties it was illegal for UK citizens to hold gold other than in jewelery. What's the difference ?

And did you know that N Korea has got a national medical service and health insurance system. :sarcasm:

[robcon]

7. And "the trains ran on time" in Pyongyang

:sarcasm:

[dipsydoodle]

8. Of course the real joke here

is that in the absense of the petrodollar recycling scheme the true value of the wholly unsupported US$ would quickly become apparent i.e sweet fuck all.

Roll on the day the oil runs out. :sarcasm:

[RedCloud]

6. Send me all banned currency for proper disposal.

[davidpdx]

9. Believe it or not, I have a few

Got them here in Seoul.

[keitai]

10. Is probably partly being used to stop people going into China to work.

We roll our eyes at some of the regime's insane economic policies but it's the people who ultimately get fucked over and that is the saddest thing of all.

[Endangered Specie]

11. Well, they will have to ban cigarettes then...

if no foreign currency is allowed, and the local currency is worthless/highly unstable, people will just use common objects as a store of value.

Prisoners have used cigarettes for some time now, North Korea pretty much qualifies as an open-air prison.

Other objects can be used as well.

[Frank Booth]

12. Kim Jong-Il's reign of terror continues.

When's he going to drop dead already?

[daleo]

13. What about our bank bail-outs?

Our governments interfere in the economy too.

[JonQ]

16. You're right

those are the same things.

[Turbineguy]

14. Well, there goes

my next vacation!

And I'd picked out such nice gray clothes!