North Korean won#2009 revaluation

{{Main|Etymology of the Korean currencies}}

Won, like Japanese yen, is borrowed from Chinese yuan, written Hanja {{lang|ko|圓}} ({{lang|ko|원}}), which means "round shape". The won is subdivided into 100 chon ({{Korean|hangul=전|hanja=錢|mr=chŏn|rr=jeon|labels=no}}).

{{See also|History of the Korean currencies}}

{{For|the Korean won before the North–South division|Korean won (disambiguation){{!}}Korean won}}

After the division of Korea, North Korea continued using the Korean yen for two years, until the Central Bank of the Democratic People's Republic of Korea was established on 6 December 1947 and the first North Korean won was issued.{{cite book|last=Cho|first=Lee-Jay|author2=Kim, Yoon Hyung |title=Economic systems in South and North Korea: the agenda for economic integration|publisher=Korea Development Institute|year=1995|page=161|isbn=978-89-8063-001-1}} In February 1959, the second North Korean won was introduced, equal to 100 old won.

From 1978 on, the North Korean government maintained an iconic rate of 2.16 won to the US dollar (which is said to have been based upon Kim Jong Il's birthday, 16 February).{{cite book|last=Hoare|first=James|author2=Pares, Susan |title=North Korea in the 21st century: an interpretive guide|publisher=Global Oriental|year=2005|page=145|isbn=978-1-901903-96-6}}

Over the decades, however, rampant inflation eroded the currency's value, and from 2001 the government abandoned the rate in favor of those closer to the black market's. A report by defectors from North Korea claimed the black market rate was ₩570 to the Chinese yuan (about ₩4,000 per U.S. dollar) in June 2009.Yong, Lee Sang (24 June 2009). [http://www.dailynk.com/english/read.php?cataId=nk00100&num=5081 The Color of North Korean Money]. Daily NK.

The third North Korean won was introduced in a revaluation {{ill|North Korean currency reform|ko|조선민주주의인민공화국의 화폐 개혁|lt=in November 2009}},Ho, Jung Kwon (30 November 2009). [http://www.dailynk.com/english/read.php?cataId=nk01500&num=5719 North Korea Replaces Currency] {{webarchive|url=https://web.archive.org/web/20091212094537/http://www.dailynk.com/english/read.php?cataId=nk01500&num=5719 |date=12 December 2009 }}. Daily NK.[https://www.nytimes.com/2009/12/02/business/global/02korea.html?_r=2 Choe Sang-Hun (9 December 2009) New York Times (Global Business), "North Korea Revalues Its Currency"] the first in 50 years.The Wall Street Journal, Wednesday 2 December 2009 [https://www.wsj.com/articles/SB125963843649570793 North Korea Reissues Won, a Blow to Unofficial Economy]The Wall Street Journal, Thursday 3 December 2009 [https://www.wsj.com/articles/SB125975276400572645 North Korea Begins Won Swap, Curfew] North Koreans were given seven days to exchange a maximum of ₩100,000 (worth approximately US$40 on the black market) in ₩1,000 notes for ₩10 notes, but after protests by some of the populace, the limit was raised to ₩150,000 in cash and ₩300,000 in bank savings.Harden, Blaine (2 December 2009). [https://www.washingtonpost.com/wp-dyn/content/article/2009/12/01/AR2009120101841.html?hpid=moreheadlines 'North Korea revalues currency, destroying personal savings']. The Washington Post. The official exchange rate at this time was around $740, but black market value of the ₩150,000 was estimated to be near $30.Haggard, Stephen and Marcus Noland (January 2009). [http://www.piie.com/publications/pb/pb10-01.pdf] {{Webarchive|url=https://web.archive.org/web/20110108204330/http://www.piie.com/publications/pb/pb10-01.pdf|date=8 January 2011}}. The revaluation, seen as a move against private market activity, wiped out many North Koreans' savings. The Times speculated that the move may have been an attempt by the North Korean government to control price inflation and destroy the fortunes of local black market money traders. The announcement was made to foreign embassies but not in North Korean state media.Parry, Richard Lloyd (2 December 2009). [https://web.archive.org/web/20100106205313/http://www.timesonline.co.uk/tol/news/world/asia/article6940482.ece North Koreans in shock as cash is 'banned']. The Times.

As part of the process, the old notes ceased to be legal tender on 30 November 2009, but notes valued in the new won were not distributed until 7 December 2009. North Koreans were thus unable to exchange any money for goods or services for a week, and most shops, restaurants and transport services were shut down. The only services that remained open were those catering to the political elite and foreigners who both continued to trade exclusively in foreign currency. The measure led to concerns amongst North Korean officials that the move would result in civil unrest. China's Xinhua news agency described North Korean citizens as being in a "collective panic";[http://joongangdaily.joins.com/article/view.asp?aid=2913430 North's currency action shocking to its citizens]. Joongang Daily. 3 December 2009. army bases were put on alert and there were unconfirmed reports of public protests in the streets in a handful of North Korean cities and towns, forcing authorities to slightly increase the amount of currency people were allowed to exchange.{{cite news|url=https://www.independent.co.uk/news/world/asia/north-koreans-dare-to-protest-as-devaluation-wipes-out-savings-1833156.html |archive-url=https://ghostarchive.org/archive/20220621/https://www.independent.co.uk/news/world/asia/north-koreans-dare-to-protest-as-devaluation-wipes-out-savings-1833156.html |archive-date=21 June 2022 |url-access=subscription |url-status=live|title=North Koreans dares to protest as devaluation wipes out savings|last=McNeil|first=David|date=3 December 2009|work=The Independent | location=London}} Piles of old bills were also set on fire in separate locations across the country, old paper notes were dumped in a stream (against laws of the desecration of images of Kim Il Sung), and two black market traders were shot dead in the streets of Pyongsong by local police, according to international reports.{{cite news|url=https://www.wsj.com/articles/SB126029137357982133?mod=WSJ_hpp_sections_world|title=North Koreans Protest Currency Issue |last=Ramstad|first=Evan|date=9 December 2009|newspaper=The Wall Street Journal}}{{cite news|url=http://www.chinapost.com.tw/asia/korea/2009/12/05/235359/North-Koreans.htm|title=North Koreans burn bills over currency reform|date=5 December 2009|newspaper=The China Post}} Authorities threatened "merciless punishment" for any person violating the rules of the currency change.{{cite news|url=http://english.aljazeera.net/news/asia-pacific/2009/12/200912371139615612.html|title=N Korea cash switch 'sparks panic' |date=3 December 2009|publisher=Al Jazeera}}

Pictures of the new notes were published on 4 December 2009 in the Chosun Shinbo, a North Korean newspaper based in Japan.{{cite news|url=http://www.dailynk.com/english/read.php?cataId=nk03100&num=5743|title=New Denomination Images Unveiled|last=Kook|first=Park Sung|date=4 December 2009|newspaper=Daily NK}}{{cite news|url=http://www.csmonitor.com/2009/1204/p06s07-woap.html|title=North Korea admits drastic currency reform, is silent on protests|last=Kirk|first=Donald|date=4 December 2009|newspaper=The Christian Science Monitor}} The paper claimed that the measure would weaken the free market and strengthen the country's socialist system.{{cite news|url=https://www.google.com/hostednews/afp/article/ALeqM5gnnLBoO7-ClzCc0ntsjmEiwe8i9w|archive-url=https://web.archive.org/web/20111117013504/http://www.google.com/hostednews/afp/article/ALeqM5gnnLBoO7-ClzCc0ntsjmEiwe8i9w|url-status=dead|archive-date=17 November 2011|title=Currency change cripples N.Korea markets: report|last=AFP|date=9 December 2009}} However, the won plummeted 96 percent against the U.S. dollar in the ensuing days after revaluation.{{cite news|url=https://www.bloomberg.com/apps/news?pid=20601080&sid=aw8p.PYArpkM|title=North Korean Won Plunges 96% After Government Revaluation |last=Lim|first=Bomi|date=9 December 2009|publisher=Bloomberg L.P.}} Authorities eventually raised the limit to 500,000 won, Chosun reported, and promised no probes into savings of up to one million won, and unlimited withdrawals if savings of more than one million were properly accounted for.

In February 2010, some of the curbs on the free market were eased, and a senior party official was sacked after incidents of unrest.{{cite news|url=http://www.timesonline.co.uk/tol/news/world/asia/article7013254.ece|archive-url=https://web.archive.org/web/20110604175708/http://www.timesonline.co.uk/tol/news/world/asia/article7013254.ece|url-status=dead|archive-date=4 June 2011|title=Food shortages and violence mount in North Korea as Utopian dream fails|last=Parry|first=Richard Lloyd|date=4 February 2010|newspaper=The Times | location=London}} Pak Nam-gi, the director of the Planning and Finance Department of North Korea's ruling Workers' Party, was executed later in 2010.{{cite web|url=https://www.bloomberg.com/apps/news?pid=20601080&sid=amrsl_DDQ7.A|title=North Korea Executes Official for Currency Reform, Yonhap Says|publisher=Bloomberg|date=17 March 2010}} North Korea denied any serious crisis relating to the revaluation.{{cite web|url=https://www.youtube.com/watch?v=99VlXc5fwxA |archive-url=https://ghostarchive.org/varchive/youtube/20211212/99VlXc5fwxA| archive-date=2021-12-12 |url-status=live|title= North Korea Says No Chaos After Currency Reform |publisher=Associated Press| date=1 April 2010}}{{cbignore}}

No coins were issued under the first won of 1947–1959.

The first North Korean coins for circulation were minted in 1959 in denominations of 1, 5, and 10 chon. These coins were often restruck with the original dates in later years; however, 1970 and 1974 dates also appear on the 1 and 5 chon. In 1978, 50 chon coins featuring the Chollima Statue and a rising sun were introduced into circulation during the 1979 currency reform to allow greater flexibility for vendors by eliminating the 50 chon banknote and large amounts of "small change" coinage carried. In 1987, 1 won coins featuring the Grand People's Study House were introduced, but did not fully replace the 1 won note which remained legal tender.

When the historic 2.16 peg to the dollar was abandoned in 2001 to allow for greater convertibility, the coins began to lose value. After 2003, these coins were rarely seen in circulation but were still redeemable. Later, a new set of coins was introduced in 2005 in denominations of 5, 10, 50, and 100 won. These coins were less impressive compared to the older series, being very plain and generic in design. All circulation coins of the second won were struck in aluminum.

Following other socialist economies like Cuba and China, North Korea developed a special system of marking coins for two groups of foreign visitors. Issued in 1983, these coins were part of the "Pakkundon" convertible series. Coins with no "stars" were for general circulation in North Korea, coins marked with one star were for "socialist visitors", and coins marked with two stars were designated for "capitalist visitors". A fourth set, intended for collectors rather than circulation, was struck with the word "specimen" or "example" in Korean characters in the areas where the stars would be. The specimen/example set is the least common of the four. Besides the general circulating coins, there is an abundance of different commemorative coins minted in the name of the DPRK. Most, if not all of them, are sold to foreign numismatists. Some of these are official, state approved coins, others are not.

Coins were issued in 10, 50 chon and 1 won denominations in 2002, and 1 and 5 chon denominations in 2008. All denominations are struck in aluminum. These coins feature the national coat of arms on the obverse and flowers, particularly the Kimjongilia and the Kimilsungia, on the reverse of the 10 and 50 chon coins. A magnolia adorns the 1 won coin.

Initially struck in 2002, the coins were intended for use shortly after the dollar peg was removed from the currency. The 50 chon and 1 won coins were smaller than the previous designs, while the new 10 chon coin was the same size as the old. Hyperinflation became a very sudden reality, however, and the new coins were never released as planned. In 2008, 1 and 5 chon coins were also struck when a plan for monetary revaluation began. The coins were finally released into circulation in December 2009, but due to the flawed nature of the revaluation, these coins again have very little value, the 1 and 5 chon coins in particular being virtually irrelevant.

The first banknotes of "North Korea" were issued in 1945 by the Soviet-backed provisional government above the 38th parallel. These were in denominations of 1, 5, 10, and 100 won. These were discontinued shortly after Soviet forces withdrew and recognized the newly independent state.

This currency was issued in all-banknote form, with the first banknotes of this issue in denominations of 15, 20, and 50 chon along with 1, 5, 10 and 100 won in 1947. The chon notes had stylized art designs, while the won denominations were fairly uniform in design, featuring a farmer and a worker standing together and holding the symbolic tools. This currency was later revalued in 1959 at a rate of one new won to 100 old won to curb the inflation that had occurred as a result of the Korean War.{{cite web|url=http://www.nautilus.org/DPRKBriefingBook/economy/DPRKMonetaryHistory.html|title=DPRK Economy|last=Schuler|first=Kurt|year=2004|publisher=Tables of Modern Monetary Systems|url-status=dead|archive-url=https://web.archive.org/web/20100301194517/http://www.nautilus.org/DPRKBriefingBook/economy/DPRKMonetaryHistory.html|archive-date=1 March 2010}}

In 1959, the old won was replaced with the second won, with price and exchange rates fixed to the U.S. dollar. This banknote series was issued in denominations of 50 chon, and 1, 5, 10, 50, and 100 won. These notes were much larger than the previous issue and depicted images representing various industries in the North Korean economy.

In 1979, the currency was again reformed, and a new banknote series was issued in denominations of 1, 5, 10, 50, and 100 won. There is ongoing speculation as to why this move was made. All 1959 banknotes were removed from circulation. Circulating coins, however, were not affected by this change. The designs for this issue were much more symbolic and charismatic than previous ones, with Kim Il Sung featuring for the first time on the 100 won note.

In 1992, another redesign was carried out for banknotes, again in denominations of 1, 5, 10, 50, and 100 won. Older notes were once again withdrawn. These notes were smaller and crisper than the previous issue and depicted more modern themes. The 5 and 10 won banknotes were again issued in 1998, along with a 500 won banknote that same year but were stamped rather than engraved reflecting poorer production quality. In 2002, 1,000 and 5,000 won notes were introduced, followed by a 200 won note in 2005. The former two were identical in design to the 100 won though differing in colors and added security features, but the colored fields behind the text no longer extended all the way to the margins. In 2007, the 500 won had also been revised in this same manner along with being engraved for the first time to protect against counterfeiting. From 1998 onwards, all notes were dated using the Juche year along with the standard dating.

In 2005, the Central Bank of the Democratic People's Republic of Korea issued commemorative 200, 500, 1000 and 5000 won notes to celebrate the 60th anniversary of the foundation of North Korea. It consists of an overprint on its regular issue notes.

In 2007, a commemorative version of this banknote series was released, stamped "Great Leader Comrade Kim Il Sung's 95th Birthday" on all denominations.

Banknotes in circulation for the second won, up to December 2009, were as follows:

In 2009, {{ill|North Korean currency reform|ko|조선민주주의인민공화국의 화폐 개혁|lt=another currency reform}} was initiated to tackle hyperinflation and black market activities. Unlike previous reforms, the 2009 move sparked a nationwide panic when it was announced there would be a two-week waiting period between the withdrawal of the old currency and the introduction of the new currency, coupled with an exchange limit of only 500,000 old won for each person, effectively wiping out savings. The state eventually pulled back on most exchange limits; however, the revaluation proved to be a failure.

Like the coins for this series, some of the denominations were initially printed in 2002 but were never released into circulation, pointing to a planned monetary revaluation much earlier than 2009 that was never carried out.

The current series of banknotes of the third won are issued in denominations of 5, 10, 50, 100, 200, 500, 1,000, 2,000, and 5,000 won. Kim Il Sung is depicted only on the obverse of the highest denomination, with the 100 won note featuring the Magnolia (National Flower) and other notes depicting North Koreans of different professions and various monuments in North Korea. The exchange rate was 100 second won to 1 third won.{{cn|reason=previous citation was a newspaper home page, no relevant information|date=March 2025}}

Unlike all previous series, these notes were all uniform in dimensions rather than staggered in size from smallest to largest. There are rumors that the original designs for the 1,000 and 2,000 won notes depicted Kim Il Sung and had similar design features to the 5,000 won that were scrapped and destroyed due to counterfeiters or thieves breaking into a bank warehouse and stealing early notes or printing materials, resulting in a total redesign of the two denominations in question.

In 2012, another commemorative series of banknotes was released, this time in the 2002–2009 series but similarly stamped "Great Leader Comrade Kim Il Sung's 100th Birthday". Once again this stamp appeared on all denominations.[http://banknotenews.com/files/20a77c7620cccd7435f61161b2077912-2930.php "North Korea new 100th birthday commemorative notes confirmed"]. {{Webarchive|url=https://web.archive.org/web/20140714183303/http://banknotenews.com/files/20a77c7620cccd7435f61161b2077912-2930.php |date=14 July 2014 }} BanknoteNews.com. 14 March 2014. Retrieved on 9 July 2014.[http://banknotenews.com/files/52afbbe9fd47f8c08bf32043a14e86ce-3478.php "North Korea new 5,000-won commemorative notes confirmed"]. {{Webarchive|url=https://web.archive.org/web/20150527231034/http://banknotenews.com/files/52afbbe9fd47f8c08bf32043a14e86ce-3478.php |date=27 May 2015 }} BanknoteNews.com. 26 May 2015. Retrieved on 27 May 2015.

In 2018, 1,000 and 2,000 won notes were released with an overprint referencing the 70th anniversary of its independence.

On 25 July 2014, a new 5,000 won note dated 2013 was released into circulation. Instead of depicting the portrait of North Korea's founder Kim Il Sung, the note depicts an image of his birthplace in Mangyondae and on the back the International Friendship Exhibition in Myohyangsan that displays gifts he and his son Kim Jong Il received from foreign leaders.[http://english.chosun.com/site/data/html_dir/2014/08/11/2014081100747.html "N.Korea Drops Kim Il-sung from New Banknotes"]. The Chosun Ilbo. 11 August 2014. Retrieved on 11 August 2014.[http://www.dailynk.com/english/read.php?cataId=nk01500&num=12160 "NK Caught Off Guard by Disappearance of Kim"]. DailyNK. 1 August 2014. Retrieved on 13 August 2014.[http://www.dailynk.com/english/read.php?num=12215&cataId=nk00300 "Past as Prelude: Kim Il Sung Will Reappear"]. DailyNK. 15 August 2014. Retrieved on 16 August 2014.[http://www.dailynk.com/english/read.php?cataId=nk01500&num=14611 "Residents avoiding use of old 5000 KPW notes"]. DailyNK. 11 July 2017. Retrieved on 11 August 2017. There has been ongoing speculation that this could indicate plans for higher denominations to be released later which would depict Kim Il Sung, Kim Jong Il, or possibly both. However the official reason behind the change was to combat counterfeiters.

Lockdowns due to the COVID-19 pandemic have caused shortages in ink and paper used to print regular KPW banknotes, resulting in the issuance in the second half of 2021 of an emergency currency printed with the word donpyo ({{lang|kr|돈표}}, "money coupon"). The coupons are in denominations of 5,000 won, printed in red ink, and 50,000 won, printed in green ink, both on white paper of poor quality.{{Cite web|url=https://www.nknews.org/2021/10/north-koreans-using-cash-coupons-as-country-unable-to-print-new-bills/|title = North Koreans using cash coupons as country struggles to print new bills |work=NK News|date = 26 October 2021}}{{cite web | url=https://www.rfa.org/english/news/korea/donpyo-04072022193445.html | title=North Korea issues high-denomination money voucher, photo evidence shows |work=Radio Free Asia}}

Shortages in regular KPW banknotes after 2020 have also resulted in a premium in their exchange values in the black markets. The donpyo is discounted versus regular banknotes at only 3,800–4,000 KPW, and KPW banknotes have even appreciated versus the US dollar from 8,000 KPW to 5,200 KPW/USD.{{Cite web|url=https://www.asiapress.org/rimjin-gang/2021/10/society-economy/donpyo/|title=＜Inside N. Korea＞ North Korea's financial crisis has made it impossible to print banknotes. Efforts to issue temporary money coupons "Tonpyo" have been made to replace them, but distrust is growing|date=23 October 2021 }}

The North Korean won is not traded in the international markets. It is traded in the unofficial black markets at around US$1 = 8,000 KPW as of 2019. It is believed that due to the COVID-19 pandemic reducing the (mostly illegal) trading activities with the outside world, the valuation of KPW had risen to around $1 = 5,000 KPW as of 2021. The North Korean won has experienced fluctuations in its exchange rate throughout 2024. Initially, the KPW saw a dramatic increase against the US dollar, trading at approximately 16,100 KPW per dollar, which represented a substantial rise of about 92% over the previous year.{{Cite web |last=Silberstein |first=Benjamin Katzeff |date=2024-10-02 |title=What's Up with North Korea's Skyrocketing Exchange Rates? |url=https://www.38north.org/2024/10/whats-up-with-north-koreas-skyrocketing-exchange-rates/?__cf_chl_tk=ccqplQNfY0TxjMCoKXDVsJYprXUZzUMj0o70vilwnnM-1736163334-1.0.1.1-mEw1J1AerlP0DSqVDiblX5hrS2cF_XF7BQZKhmZ_xQU |access-date=2025-01-06 |website=38 North |language=en}} However by November 2024, the black market value of the KPW fell to around 18,000 KPW per dollar, indicating a period of hyperinflation.{{Cite web |last=Jang |first=Seulkee |date=2024-12-09 |title=N. Korean won-dollar rate stabilizes while won-yuan continues climb |url=https://www.dailynk.com/english/north-korea-won-dollar-rate-stabilizes-while-won-yuan-continues-climb/ |access-date=2025-01-06 |website=Daily NK English |language=en-US}}

North Korean won are intended exclusively for North Korean citizens, and the Bank of Trade ({{Korean|hangul=무역은행|labels=no}}) issued a separate currency (or foreign exchange certificates) for visitors, like many other socialist states. However, North Korea made two varieties of foreign exchange certificates, one for visitors from "socialist countries" which were colored red and hence nicknamed "red won",{{cite web|url=http://www.dailynk.com/english/read.php?cataId=nk00100&num=5081|title=The Color of North Korean Money|date=23 June 2009|access-date=28 November 2016}} and the other for visitors from "capitalist countries" which were colored blue/green and hence known as "blue won".

For the 1978 banknote series, foreign certificates, called "Pakkundon", meaning "exchangeable money" were implemented by an overstamp and serial number color. This was intended to protect the value of the national currency in North Korea's command economy. These were first released in 1983 in two forms, one for "socialist visitors" which had a red stamp, and one for "capitalist visitors" which had a green stamp. Another series was released in 1986 with either a blue or red Guilloché style stamp. These were issued in all denominations, except for the ₩100 note, presumably because it was assumed by the government that foreign visitors to North Korea would not show proper respect for its depiction of Kim Il Sung. These notes were discontinued in 1988 and replaced with a new series of Pakkundon in all banknote form that was more distinguishable and unmistakable from generic circulation currency.

In 1988, the Bank of Trade ({{Korean|hangul=무역은행|labels=no}}) (as opposed to the Central Bank) issued two unique series of foreign certificates. They both included 1 chon, 5 chon, 10 chon, 50 chon, ₩1, ₩5, ₩10, and ₩50. The series for "capitalist visitors" was blue-green, while the series for "socialist visitors" was pink.{{cite book|last=Bruce|first=Colin R.|author2=Shafer, Neil |title=Standard Catalog of World Paper Money, Modern Issues, Volume 3|publisher=Krause Publications|year=1999|page=424|isbn=978-0-87341-746-4}} The chon notes had a simple design of patterns and corresponding values, while the socialist won notes depict the International Friendship Exhibition, and the capitalist won notes depict the Chollima Statue.[http://www.bank-note.org/nk.html Bank notes of the modern world – North Korea] {{Webarchive|url=https://web.archive.org/web/20090211180254/http://bank-note.org/nk.html |date=11 February 2009 }}. bank-note.org.

FECs were used until 1999, then officially abolished in 2002, in favor of visitors paying directly with hard currencies.{{cite book | last1 = Linzmayer | first1 = Owen | title = The Banknote Book | chapter = North Korea | publisher = www.BanknoteNews.com | year = 2012 | location = San Francisco, CA | url = http://www.banknotebook.com | access-date = 9 December 2020 | archive-date = 3 October 2018 | archive-url = https://web.archive.org/web/20181003161541/http://www.banknotebook.com/ | url-status = dead }}

After the 2009 revaluation, the BBC reported that in some department stores in Pyongyang, the North Korean won was not accepted; the stores take only Japanese yen and U.S. dollars.{{cite news| url=http://news.bbc.co.uk/1/hi/in_pictures/8256890.stm | work=BBC News | title=In pictures: Life in poverty-stricken North Korea | date=22 September 2009}} As of 2018, it had evolved to most North Korean stores accepting U.S. dollars, euros and Chinese yuan/renminbi, with change from transactions primarily returned in renminbi or U.S. dollars.[https://www.rfa.org/english/news/korea/us-dollars-become-currency-of-choice-among-well-heeled-north-koreans-02212018162155.html US Dollars Become Currency of Choice Among Well-Heeled North Koreans] Radio Free Asia (https://www.rfa.org). 21 February 2018. Retrieved on 29 December 2018.[https://www.rfa.org/english/news/korea/money-04072023102829.html North Korea confiscates dollars and yuan after declaring foreign currency illegal] Radio Free Asia (https://www.rfa.org). 7 April 2023. Retrieved on 9 April 2023.

Foreign visitors (and privileged locals) can buy goods priced in 'tied' won using a local debit card, which is credited when exchanging foreign currency at the official bank rate of around 104 won/USD or 130 won/EUR (as of 2012). This card can be used for instance at the famous Pyongyang Department Store No. 1 or at the different stores at the international hotels, where the goods are priced at the tied won rate. This tied won does not exist in the form of bank notes, and is effectively a separate currency and accounting unit for sales involving foreign exchange.

In normal stores and markets, goods are priced in what has been called the 'untied' won or free market rate which is represented by regular KPW banknotes. At for instance the Tongil Market and the Kwangbok Department Store (a.k.a. the Chinese Market) there are semi-official exchange agents who will give in regular banknotes around 8,000 KPW/USD or 10,000 KPW/EUR to locals and foreign visitors alike (as of 2012, or 77 times the tied or official rate). The untied KPW is used for prices in normal shops outside restricted state shops/tied won shops.Black Market cash: the real value of N. Korean won, NK News, 1 September 2014 http://www.nknews.org/2014/09/black-market-cash-the-real-value-of-n-korean-won/

• Economy of North Korea
• South Korean won

{{Reflist}}

• {{cite web|url=http://www.bis-ans-ende-der-welt.net/Nordkorea-B-En.htm|title=The banknotes of North Korea|language=en,de|editor=Heiko Otto|access-date=19 August 2017}}

{{n-start|title=North Korean won}}

{{n-before|currency=Korean yen|reason=Division of Korea and moving toward a full sovereign nation from Allied occupation}}

{{n-currency|location=North Korea|start=18 April 1980|end=12 April 2009|note=1st Won: 1945 to 1959
2nd Won (equivalent to 100 1st Won): 1959 to 2009
3rd Won (equivalent to 100 2nd Won): 2009 onwards}}

{{n-after}}

{{end}}

{{Historical currencies of Korea}}

{{Currencies of Asia}}

{{Economy of North Korea}}

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Category:Currencies of North Korea

Category:Currencies introduced in 1947

Category:1947 establishments in North Korea

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Category:Circulating currencies