[Global NK Publication Alert] Limits of North Korea’s Economic Policy

  • NEWSLETTERS
  • February 20, 2026

 Feburary 20, 2026

 [Commentary]

The Economic Limits of

the ‘Regional Development 20×10 Policy’

Seung-ho Jung, Professor at Incheon National University, analyzes the background of the "Local Development 20x10 Policy," characterizing it as an extension of North Korea's regional self-reliance system that has been continuously strengthened by national defense logic, economic hardship, and deepening regional disparities. The author points out the economic limitations of this policy, noting that it bears structural inefficiencies by ignoring economies of scale and comparative advantage, while potentially shrinking market functions and further widening the gap between regions due to selective support. Professor Jung emphasizes that easing inter-Korean tensions and building military trust are necessary to lower North Korea's perception of external security threats, which will help create an environment where the regime can pursue economically rational regional development strategies.

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