Amid persistent rises in foreign exchange rates, trade practices in North Korea’s markets are reportedly changing accordingly.
On Tuesday, sources from South Pyongan and North Pyongan Provinces told SPN that “large and medium-sized traders in Pyongyang, Pyongsong, and Sinuiju are primarily conducting transactions in foreign currencies such as the U.S. dollar and Chinese yuan. If not, barter trade has become the dominant form of payment.”
The sources attributed this shift to the dramatic rise in dollar value and the simultaneous devaluation of the North Korean won.
They further noted that “wholesalers are refusing to accept North Korean won (often referred to as gukdon), and retailers, constrained by limits on raising prices due to fluctuating exchange rates, are increasingly hesitant to sell goods,” providing insight into recent price surges.
Meanwhile, the prices of dollars, food, and gasoline in North Korea’s markets have been downward since the beginning of this week.
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