North Korean agricultural officials are scrambling to secure funding for farming supplies as the growing season gets into full swing. However, wealthy North Koreans who traditionally provided loans for agricultural supplies have become reluctant to open their wallets due to the recent frequent turnover of farm officials.<\/p>\n
According to a Daily NK source in North Pyongan province recently, farms are trying to arrange “pre-transactions” \u2013 a system where farm officials borrow money in spring for essential agricultural supplies like fertilizer, seeds, and fuel, then repay the loans in autumn with a portion of the harvest. This year, however, these deals have become increasingly difficult to finalize.<\/p>\n
Wealthy North Koreans \u2013 known as “donju<\/em>” \u2013 have historically provided most agricultural loans, but the recent pattern of farm officials being replaced has led to financial losses, making donju<\/em> hesitant to invest.<\/p>\n “In the past, money lenders would make deals with work team leaders or sub-work team heads, but this year, people are avoiding lending to farms,” the source explained. “To make a deal, you need basic confidence that farm officials will remain in their positions until autumn, but with officials frequently facing punishment, nobody is willing to take the risk.”<\/p>\n Earlier this year, North Korean authorities intensified inspections and crackdowns on farm officials after publicly condemning corruption within the agricultural inspection agency of Usi county in Jagang province \u2013 a case they labeled a “mega-crime.” Since then, many farm officials have been replaced, causing donju who previously financed agricultural supplies to withhold funding.<\/p>\n