North Korea's economy grows amid alliance with Russia
The alliance between Kim Jong Un and Vladimir Putin bears fruit for North Korea and Russia. Thanks to the cooperation between the regimes, Russian forces have the means to attack Ukraine, and the North Korean economy is experiencing its first growth in three years, marking one of the most significant increases since the change of leadership in Pyongyang.
6:44 PM EDT, July 26, 2024
Kim Jong Un, unlike the leader of China, Xi Jinping, does not particularly concern himself with relations with the United States, intensifying threats against the US and South Korea. The latest data indicates what might be fueling the dictator's boldness.
According to data from South Korea's central bank, cited by Bloomberg, the economy of the totalitarian neighbor grew by 3.1% in 2023, ending a three-year streak of declines. This is one of the best results since the death of Kim Jong Il in 2011 and certainly the largest since 2016.
"The growth follows Kim's rapprochement with Moscow, ignoring US calls to return to disarmament talks and lifting border restrictions imposed at the beginning of the COVID-19 pandemic, which severely hampered trade for his sanction-hit economy," the agency writes.
The people starve, the dictator fires missiles
Russia and North Korea officially deny that Kim is supplying Putin with weapons, especially ammunition, and missiles, which the Russian aggressor started to lack after the initial phase of the war in Ukraine. However, satellite images and other indicators suggest otherwise.
"The Bank of Korea reported that heavy and chemical industries contributed to economic growth, increasing by 8.1% compared to the previous year. While the report does not specify whether these industries are engaged in any weapons production, it notes an increase in the production of primary metals, which may include iron, steel, copper, nickel, and aluminum," Bloomberg writes.
The agency points out that despite the growth, the situation for North Korean citizens has not improved, as Kim spends new revenues on armaments and the development of ballistic technology. The UN states that this country is one of the most impoverished in the world, with a large portion of its population suffering from shortages of food, medicine, and other necessities.
The Gross National Income amounted to 40.9 trillion won last year, equating to $29.5 billion. "Meanwhile, Kim spends substantial funds on his missile program. Last year's missile tests cost about $1 billion." said South Korean Defense Minister Shin Wonsik in an interview with Bloomberg.
