Signs point to a major cash crisis in North Korea

A lack of external funding could push the regime to decide between food and missiles

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North Korean leader Kim Jong Un gives field guidance to various units in Samjiyon County, in this photo released by North Korea's Korean Central News Agency on Dec.9.

HIROSHI MINEGISHI, Nikkei staff writer

SEOUL North Korea staged days of celebrations following the Nov. 29 launch of a ballistic missile it claims can strike anywhere in the U.S. But behind these outward displays, sources paint a grim picture of a struggle for existence that suggests a different reason for leader Kim Jong Un's apparent haste in declaring success.

At the Musan iron ore mine, one of the biggest in Northeast Asia, workers hanging on after waves of layoffs now wait even longer for their pay and food disbursements. Meanwhile, at the jangmadang black markets scattered across the country, where seven out of 10 North Koreans go to for food and clothing, vendors are growing scarce.

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