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KDI - Korea Development Institute

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North Korea Economy KDI Review of the North Korean Economy, May 2025 May 29, 2025

North Korea Economy

Monthly published paper on the current status of the North Korean Economy and major
issues on inter-Korean economic cooperation assisting academia, policy makers and corporate sectors to better understand North Korea

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LanguageKOR
KDI Review of the North Korean Economy, May 2025
May. 29. 2025
Summary
The May issue presents four analytical studies on North Korea’s ICT development and its economic implications. Mobile telecommunications proliferation has significantly enhanced income for vulnerable populations, demonstrating economic utility in areas such as exchange rate data, distribution, and financial services―even under stringent state controls. The analysis of the mobile application sector confirmed the expanding use of educational and medical apps and ongoing efforts to build an ecosystem grounded in private-sector participation, despite a user base exceeding six million, a household penetration rate of 66.4%, and persistent digital divides. The Computerized Numerical Control (CNC) initiative to transform the people’s economy, particularly through the dissemination of distributed control systems into light industry and agriculture, shows measurable progress but continues to face sustainability challenges due to limited operational capacity and technical support. Analysis of ICT literature from 20202024 indicates a self-reliant policy trajectory, positioning ICT as a strategic pillar under the national goal of building a science and technology powerhouse. These findings collectively highlight North Korea’s ongoing efforts to leverage ICT for economic advancement and livelihood improvement amid systemic constraints.
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