hankyoreh

North Korea experienced negative growth in 2007, for the second year in a row, according to a Bank of Korea report issued June 18.

South Korea’s central bank also said the North’s economy is 1/36th the size of that of South Korea, while its gross national income is 1/17th of that of South Korean citizens.

According to the report, titled “Estimated Results of North Korea’s Economic Growth Rate in 2007,” the North’s gross domestic product was 21.2161 trillion South Korean won (US$20.6583 billion) in 2007, 2.3 percent smaller than it was in 2006. The North experienced negative growth in 2006 as well, shrinking 1.1 percent compared to 2005.

The BOK said that losses in agricultural production and other difficulties across the North Korean economy would likely continue in the immediate future.

By industry, agriculture, forestry and fisheries decreased 9.4 percent from 2006. In particular, the production of rice and corn was sharply reduced. Manufacturing grew 0.8 percent but due to an increase in foreign tourists, the service industry grew 2.7 percent and the transportation and communication industries grew 3.4 percent.

The North’s nominal gross national income was about 24.8 trillion won last year, compared to about 902.5 trillion won in the South. The North’s per-capita GNI was 1.07 million won, compared to more than 18.6 million won in the South.

North Korea had approximately US$920 million in exports and $2.02 billion in imports; those figures were $371.5 billion and $356.9 billion in South Korea.

The amount of rice produced in North Korea was about a third of that produced in the South, while production of cars was approximately 1/888th that of the South.

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