Cash from market vendors in Pyongyang is being collected to
make up for the state’s lack of capital for major housing projects in the capital city, Daily
NK has learned. The “contributions” are not mandatory, but many merchants have been
paying up under pressure from managers at the marketplace.
“Under Kim Jong Eun’s orders, housing projects are underway
in areas near the Daedong River’s Janghun District and more rural areas, but
recently, market vendors have been told to make additional ‘contributions,’” a source in
Pyongyang reported to Daily NK on Tuesday.
“They haven’t been forced to from higher authorities, per
se, but market managers have been making rounds telling them it would be for
their own benefit and pressuring the vendors,” the source elaborated. “Because
of this, merchants who have stalls pay as little as 100,000 KPW or as much as
800,000 KPW.”
Considering that the average monthly salary of a North
Korean worker is 3,000 KPW, in order to save 800,000 KPW, the person would have
to set aside their wages for roughly 20 years without spending any. Those who
are able to pay this kind of money are donjuLiterally "masters of money," donju refers to people who hav... More [the new affluent middle class]
that have amassed such wealth through market activities.
“800,000 KPW is no small amount even to donjuLiterally "masters of money," donju refers to people who hav... More, but they
understand they need to have favorable ties with higher officials in order to
continue their business, so they have no choice,” she explained. “But it’s not
like they receive any benefits from it.”
Although market managers have fallen short of telling them
precisely how much to pay, the tacit fear that they could lose their stalls is
forcing them to make these construction pay offs.
“Now, the country tries to get people involved in state-run
projects as well,” the source said. “Those who have made some money through
sales are frequently paying funds for these projects on top of the official fee
for doing business at markets.”
With this kind of pressure, there are now vendors who say
they are unable to return to the markets because they can’t afford to make such
“contributions.” Those with less money have been setting up shop in temporary locations, where they do not have to worry
about managers.
“It would be great if we could just do our business at the
market, but I don’t have the money to, so there’s nothing I can do,” some of
those vendors have said. Business owners with legitimate stalls assigned to
them have found themselves without a place to return to overnight.
“With people heading out of the market to sell on the
streets, there has been a harsher crackdown,” the source asserted, adding that
“there have been separate investigations into those who have abandoned their
stalls.”
The Daily NK earlier reported that construction for the ambitious “Pyongyang
100,000 Homes Project,’ which came to a standstill due to the lack of
building material, had also been handed over to wealthy individuals, who
would shoulder the entire cost but in return receive half the sales profits of
the property.
