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Kim Jong Un Opens North Korea's Entertainment Taps, Driven by Hidden

| Source: CNBC Translated from Indonesian | Economy
Kim Jong Un Opens North Korea's Entertainment Taps, Driven by Hidden
Image: CNBC

North Korean President Kim Jong Un is encouraging his citizens to enjoy more entertainment and shopping, ranging from coffee shops to luxury shopping centres. Behind this surge in consumption lies a strategy to strengthen state control over the economy while simultaneously dampening unrest among the middle class.

The nation, which for decades has been synonymous with scarcity, is now being filled with various new recreational facilities. Trade data shows that imports of massage equipment from China have surged approximately 40-fold over a decade, while shipments of treadmills have soared by more than 600%, followed by pianos and amusement rides such as bumper cars.

According to Kang Seong-hyeon, a researcher at the Hyundai Research Institute, this policy is not merely about improving the citizens’ standard of living. “Kim’s approach attracts production, distribution, and capital flows that were concentrated in informal markets into the state-managed official economic space,” he stated, as quoted by Reuters.

This shift is evident in the proliferation of shopping centres, beach resorts, water parks, and even ski destinations. Reuters found the construction of the Wonsan Kalma resort, luxury hotels in Samjiyon, and various recreational complexes including restaurants, libraries, and cinemas. The Wonsan resort was even reported to have been visited by more than 300,000 domestic citizens in the second half of 2025.

In Pyongyang, a consumerist lifestyle is also becoming increasingly visible. Citizens can enjoy cappuccinos, shop for household appliances, and visit pet shops, while shopping centres such as Ryugyong Golden Plaza display products featuring international brand logos. Digital payments via mobile applications are also being widely used, following the government’s 2023 mandate for banks and shops to accept electronic payments.

This surge in consumption is occurring as North Korea’s economy continues to grow despite being beset by international sanctions. The country’s economy grew by 3.5% in 2025, marking the third consecutive year of growth above 3%. Capital flows are said to originate from various sources, including the theft of crypto assets, mineral exports, and the deployment of troops to assist Russia in the war in Ukraine.

Ruediger Frank, an economist at the University of Vienna, assesses that this consumption policy is also designed to address a new issue: the growing segment of society that possesses money but has minimal official channels through which to spend it.

“A middle class has emerged, consisting of about eight million people who have savings but no place to spend them,” said Frank.

According to Frank, consumption can reduce social frustration while simultaneously boosting domestic demand and preventing excess funds from entering markets that risk triggering price hikes for essential goods. However, he warned that this strategy is no guarantee of loyalty.

“Consumption buys time. However, it does not buy loyalty forever,” he remarked.

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