Gdp Contraction: Commodity Prices and Korea

gdp contraction: Leader Kim Jong Un pledged to prioritize economic growth as least as much as military matters, but the data suggest that its own military aggression and low commodity prices worldwide are making such growth difficult. "The key reason for the GDP contraction looks to be trade as global commodity prices fell while China demand also declined," a Bank of Korea official said, according to Deutsche Welle. North Korea doesn't publish its own figures, so the South central Bank of Korea relies on information compiled from state and private organizations to develop its a picture of the country economic situation. It lost 1.1 percent of its GDP, more than any year since 2007. Trade troubles Its estimates show that nearly all sectors outside of construction and services moved in retrograde last year. Most strikingly, the country international trade dropped 18 percent, the first contraction in this area since 2009. North Korea energy sector, for instance, contracted by 13 percent, largely due to a drought that sapped hydropower production. (news.financializer.com). As reported in the news.