Soaring prices squeeze North Korea’s vulnerable households

Rising food prices and exchange rates are devastating the finances of vulnerable households in North Korea. Prices have surged, but wages have not kept pace. According to a source in South Pyongan province, many families are struggling to make ends meet. The hardship is widespread in cities like Pyongsong, Anju, and Sunchon. One earner's income is no longer sufficient to sustain a household, a stark change from the past.

Prices for daily necessities and food have risen sharply, while incomes have only increased slightly. This has widened the gap between expenses and earnings. In July 30, a kilogram of rice cost 40,000 North Korean won at the Pyongsong market, while corn was priced at 10,000 won. Prices have roughly tenfold and threefold increased from pre-pandemic and a year ago, respectively.

Market sellers earn only 7,000 to 10,000 won a day on average, barely covering the cost of one kilogram of corn. This leaves no room for expenses like cooking fuel, side dishes, and workplace, school, and neighborhood fees. Consequently, having multiple family members work has become common among vulnerable households. Some now rely on subcontracted piecework, such as making wigs, false eyelashes, straw hats, and embroidery.

Children, even those still in school, are also contributing to help their families. While a more diverse and higher-quality market now exists, it remains out of reach for those with limited won income. The frustration is greater than ever, with people feeling the weight of poverty more acutely.