The accession of Kim Jong Un represents a potential moment for change in North Korea, especially given potential leadership changes in China and South Korea. There are signs of a more collective leadership and some moves away from the charismatic leader model. Agricultural production
is still weak though improving, while industry still faces many problems, not least the distortions caused by disproportionate spending on the military. Special Economic Zones will be a future focus for driving growth but FDI is difficult to attract to North Korea. Energy problems could be
aided by the building of an oil pipeline connecting Russia and South Korea but this raises security problems.
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