Open

Coming up

Don't miss

Replay


LATEST SHOWS

THE BUSINESS INTERVIEW

Christian Kastrop, Director of Policy Studies, OECD

Read more

AFRICA NEWS

Ebola: UN Security Council unanimously passes resolution

Read more

ENCORE!

Author Kiran Desai on early success and the Booker Prize

Read more

THE BUSINESS INTERVIEW

Tyler Brûlé, Founder and Editor-in-chief of Monocle

Read more

REPORTERS

From Sarajevo to Guantanamo, the journey of the Algerian Six

Read more

#THE 51%

Angelique Kidjo, 'Africa’s premier diva'

Read more

FASHION

The Quest for an Exceptional Object

Read more

FOCUS

Ukraine's 'volunteer' battalions: Under Kiev's control?

Read more

INSIDE THE AMERICAS

US strategy to combat the Islamic State group

Read more

North Korea issues new bank notes to flush out cash

AFP

Photo taken on July 27, 2014 shows service personnel of the North Korean Army outside the Kumsusan Palace of the Sun in PyongyangPhoto taken on July 27, 2014 shows service personnel of the North Korean Army outside the Kumsusan Palace of the Sun in Pyongyang

Photo taken on July 27, 2014 shows service personnel of the North Korean Army outside the Kumsusan Palace of the Sun in PyongyangPhoto taken on July 27, 2014 shows service personnel of the North Korean Army outside the Kumsusan Palace of the Sun in Pyongyang

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.

Date created : 2014-08-01