International organization participation: ESCAP, FAO, ICAO, ICRM,
IFAD, IFRCS, IHO, IMO, Intelsat (nonsignatory user), IOC, ISO, ITU,
NAM, UN, UNCTAD, UNESCO, UNIDO, UPU, WFTU, WHO, WIPO, WMO, WToO

Diplomatic representation in the US: none; note—North Korea has a
Permanent Mission to the UN in New York, headed by YI Hyong-chol

Diplomatic representation from the US: none

Flag description: three horizontal bands of blue (top), red (triple width), and blue; the red band is edged in white; on the hoist side of the red band is a white disk with a red five-pointed star

Economy

Economy—overview: North Korea is the world's most centrally planned economy. Agricultural land is collectivized, state-owned industry produces nearly all manufactured goods, and heavy and military industries have long been developed at the expense of light and consumer industries. Open-air markets since 1995 have gained increasing importance in the distribution of food and consumer goods but private production remains extremely limited. Total economic output has fallen steadily since 1991—perhaps by as much as one-half—when the country's economic ties to the Soviet Union and Eastern Bloc collapsed. The slide has also been fueled by serious energy shortages, aging industrial facilities, and a lack of maintenance and new investment. The leadership has tried to maintain a high level of military spending but the armed forces have nonetheless been affected by the general economic decline. Although North Korea has long depended on imports to meet food needs, serious fertilizer shortages in recent years have combined with structural constraints—such as a shortage of arable land and a short growing season—to reduce staple grain output to more than 1 million tons below what the country needs to meet even minimal demand. Widespread famine and disease have cost the lives of hundreds of thousands of North Koreans in 1994-98. The US, China, the international community, and nongovernmental organizations have sent aid but the problems remain extremely serious.

GDP: purchasing power parity—$21.8 billion (1998 est.)

GDP—real growth rate: -5% (1998 est.)

GDP—per capita: purchasing power parity?$1,000 (1998 est.)

GDP—composition by sector: agriculture: 25% industry: 60% services: 15% (1995 est.)