North Korea, they officially call themselves the Democratic People’s Republic of Korea (DPRK or DPR Korea), is a country in East Asia constituting the northern part of the Korean Peninsula. The country is bordered to the north by China and by Russia along the Amnok (known as the Yalu in Chinese) and Tumen rivers, and to the south by South Korea, with the heavily fortified Korean Demilitarized Zone (DMZ) separating the two. North Korea, like its southern counterpart, claims to be the legitimate government of the entire peninsula and adjacent islands. Pyongyang is the country’s capital and largest city.
According to high-level North Korean defectors, since the 1970s, revenue accumulated through foreign currency, revenue which is wholly separate from the official economic organs of the state, is of economic significance. The scale of its significance remains unknown and is a closely guarded secret, however. More recently, this foreign currency is said to have been also derived from the over 100,000 North Korean migrant workers sent around the world, and who contribute the lionshare of their income to this “Royal Court” fund. Other banking, trade and financial ventures (many of which are illicit) are also said to be significant contributors. The fund is reported to be primarily tasked with providing the capital needed to develop the country’s military technology (above all else, its nuclear weapons program), as well as contributing to a system of “gift giving” for the country’s political, military and business elite.
A 2014 UN inquiry into abuses of human rights in North Korea concluded that, “the gravity, scale and nature of these violations reveal a state that does not have any parallel in the contemporary world,” with Amnesty International and Human Rights Watch holding similar views. The North Korean government denies these abuses.
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