The improvement of economic affairs in the Kim Jong Eun era is more an outgrowth of revitalized resident efforts poured into commercial activity than a result of top-down policy decisions. According to sources within the country, North Korean authorities have started relaxing their tightfisted economic policies and tolerating growth of new markets because they are worried about residents¡¯ opposition. 

In an article titled, ¡°How to View North Korea¡¯s Recent Economic Improvement,¡± the Chinese weekly World Knowledge reported that the continual increase of food production starting from Kim Jong Eun¡¯s rise to power in 2012 is due to the bunjo farming system.

The bunjo agricultural system falls under the June 28th Measures, announced by North Korea in 2012, which include policies set to increase the efficiency of collective farms by reducing the amount of workers in each bunjo unit, originally consisting of approximately 10 to 25 people, down to four to six. More importantly, the measures stipulate that a higher proportion of output be distributed to the farmers, with 70% going to the state and the remaining 30% and any surplus divided among the workers. 

Some academic sources maintain that economic growth can also be attributed to the ¡°May 30th Measures,¡± announced in May 2014, which lay out policies for looser regulations of the manufacturing, maintenance, and agriculture industries in order to stimulate production growth. 

Despite the harsh sanctions brought down by the international community after North Korea¡¯s 3rd Nuclear Test on February 12th, 2013, they assert that state policies like the June 28th Measures and May 30th Measures contributed immensely to growing and strengthening the economy. 

But according to Daily NK¡¯s inside sources, the bunjo changes have only been implemented in some regions--on an experimental basis-- and have done relatively little to excite activity as of yet. Also, there is no verifiable evidence that the loosened regulations on manufacturing and other industries resulting from the May 30th measures have increased production. Because of this, claiming that North Korea¡¯s economic policies have been at the heart of the country¡¯s recent financial growth remains, for the time, an unfounded assertion.

Experts believe that the economic measures taken up by North Korea during Kim Jong Eun¡¯s reign have played a positive role in the country¡¯s growth, but insist this is dwarfed by the outpour of resident effort into market activities. Though the scale of last year¡¯s foreign trade decreased and North Korea failed to attract significant foreign investment, the economy continued to grow on the back of citizens who worked to expand the market. 

Kwon Tae Jin, director of the North Korea, Northeast Asia Research Center at the GS&J Institute, told the Daily NK, ¡°As long as foreign investment is nominal and the North Korean authorities continue to implement rigid controls, money will not end up in the hands of everyday people. Looser controls and aggregating state owned capital is key to stimulating economic growth.¡±

He added that while he believes the economic improvements such as the June 28th Measures and May 30th Measures have made a positive impact on the economy overall, they must move in a direction that stabilizes and expands the market in order to stimulate the economy.

Another expert on North Korea, who spoke on condition of anonymity , added, ¡°While we can positively evaluate economic growth in the Kim Jong Eun era, it is fairly clear that said growth is the result of market activity contributed by residents, not the consequence of government policies. If North Korea loosens up regulations, I think we are going to see even more growth in the future.¡±  

*The contents of this article were broadcast to the North Korean people via Unification Media Group.