World
N. Korea issues new bank notes to flush out cash
Publish Date: Aug 01, 2014
N. Korea issues new bank notes to flush out cash
A Chinese vendor displays what she claims are North Korean bank notes to tourists in Dandong, Liaoning Province
  • mail
  • img
newvision

SEOUL - North Korea has started issuing new bank notes in an apparent effort to flush out privately hoarded cash reserves, according to South Korea's National Intelligence Service (NIS).

In a briefing to a parliamentary committee, the NIS said the new notes were issued from July 30, Yonhap news agency reported Friday.

Old bank notes can be exchanged or used for an unspecified grace period after which they will cease to become legal tender, the NIS said.

"This is apparently aimed at compelling people to cough up their cash hoards," Lee Cheol-Woo, a lawmaker with the ruling Saenuri Party, told Yonhap after Thursday's briefing.

North Korea has a thriving black market which has, to some extent, supplanted the state goods distribution system.

The widespread use of other currencies, especially the Chinese yuan, has also given rise to an unofficial currency exchange system.

The issuance of the new notes did not appear to be accompanied by any actual currency reform like the disastrous revaluation attempted in 2009.

Implemented during a backlash against emerging private markets, the devaluation wiped out personal savings and triggered rare public protests.

AFP

The statements, comments, or opinions expressed through the use of New Vision Online are those of their respective authors, who are solely responsible for them, and do not necessarily represent the views held by the staff and management of New Vision Online.

New Vision Online reserves the right to moderate, publish or delete a post without warning or consultation with the author.Find out why we moderate comments. For any questions please contact digital@newvision.co.ug

  • mail
  • img
blog comments powered by Disqus
Also In This Section
A 5.9 magnitude earthquake struck China's southwestern province of Sichuan on Saturday, with Chinese state media reporting one fatality....
Nigeria''s main opposition party warns against a plan to arrest parliamentary speaker Aminu Tambuwal, who quit the ruling party last month....
Moscow accuses West of seeking Russia
Foreign Minister Sergei Lavrov on Saturday accused the West of seeking to force a regime change in Russia through sanctions over the Ukraine conflict....
Plague outbreak kills 40 in Madagascar: WHO
An outbreak of plague has killed 40 people in Madagascar, the World Health Organization said, warning that the disease could spread rapidly in the country's densely populated capital Antananarivo....
Ousted Burkina president arrives in Morocco from Ivory Coast
Burkina Faso''s deposed president Blaise Compaore arrived in Morocco from Ivory Coast, where he has been in exile since his ouster in a popular revolt last month, the Moroccan foreign ministry announced early Friday....
Pop stars climb stairway to heaven early: Australian study
It's long been said that pop stars live fast and die young, but a new Australian study has added scholarly credibility to the adage, finding that US musicians die up to 25 years earlier than the general population....
Should workers be subjected to a 4% Health Insurance Tax??
Yes
No
Can't Say
follow us
subscribe to our news letter