North Korea’s Leisure Boom: How Kim Jong Un Is Driving Domestic Spending

North Korea is witnessing an unusual expansion in leisure and consumer infrastructure, with malls, cafes, waterparks, resorts and entertainment venues becoming increasingly visible across the country. The push is being driven by leader Kim Jong Un as his government seeks to encourage domestic spending while bringing more economic activity under state control.

Trade data from China indicates a sharp rise in imports connected to leisure and personal consumption. Over the past decade, North Korea’s imports of massage equipment have increased dramatically, while treadmill shipments have risen by more than 600%. The country has also imported pianos, amusement equipment and other consumer-oriented goods.

The expansion is visible in Pyongyang, where luxury shopping complexes, restaurants and recreational facilities have emerged. At the Rangnang Aeguk Kumgang Service Complex, residents can reportedly buy home appliances and visit coffee outlets, while the Hwasong Taedonggang Beer Restaurant has become another leisure destination highlighted by state media. Kim has also visited a newly opened pet shop with his daughter Kim Ju Ae.

Analysts believe the campaign goes beyond simply giving North Koreans more opportunities to spend money. By directing consumption through businesses and facilities operated or controlled by the state, the government can bring private wealth into formal economic networks, reduce the influence of informal markets and create additional sources of revenue.

North Korea’s economy grew by 3.5% in 2025, marking its third consecutive year of growth above 3%, according to South Korea’s central bank. The country has continued developing its consumer and tourism sectors despite extensive international sanctions targeting areas including luxury goods, energy and mineral trade.

The development has also attracted attention from foreign visitors. After travelling to Pyongyang in May, Singapore’s foreign minister Vivian Balakrishnan described the changes in the capital as remarkable and said parts of the city resembled a modern East Asian metropolis.

North Korea’s leisure expansion has included major tourism projects. The Wonsan Kalma coastal resort opened in the summer of 2025, while five luxury hotels opened in Samjiyon near the Chinese border later that year. A ski resort is also under construction in the area, while other projects include a waterpark and an equestrian facility in the northeast.

State media showed the Wonsan beach resort crowded with domestic visitors during an August heatwave. More than 300,000 North Korean residents reportedly visited the resort during the second half of 2025, according to information shared by China’s embassy in Pyongyang.

Rason city in northeastern North Korea has also seen the development of saunas, swimming pools, video-game arcades and sports centres. Across the country, the government is building leisure complexes featuring facilities such as libraries, restaurants and cinemas, with at least two dozen either completed or under construction.

Pyongyang has received some of the most extravagant additions. State media has highlighted a new residential district featuring a gaming arcade, car dealership and barbecue restaurant offering items such as salmon belly and foie gras burgers.

The variety of consumer products available in the country has also expanded. At Ryugyong Golden Plaza, which opened in 2023, footage shows stores displaying brands such as Rolex, Omega and Herbelin, along with Huawei branding in an electronics outlet. However, Omega and Herbelin said they do not have official retailers or distributors in North Korea.

North Koreans have also increasingly gained access to mobile payment and shopping applications that resemble China's digital payment platforms. Visitors have reported seeing mobile payments used widely in Pyongyang, including for everyday purchases.

Chinese customs figures further demonstrate the scale of the consumer push. Imports have included pianos, watches and amusement equipment such as merry-go-rounds, rollercoasters and waterslides. Between January 2025 and July 2026, North Korea imported more than three metric tonnes of bumper cars from China, with a value exceeding $20,000.

The growth of formal commercial infrastructure is particularly significant because informal markets became increasingly important after the famine of the 1990s, when the state struggled to provide basic goods. Earlier attempts to shut down these markets were unsuccessful because the government lacked an alternative distribution network.

Analysts now believe Kim’s strategy is aimed at creating a state-controlled commercial system capable of competing with informal markets and eventually weakening their influence. Electronic payment and delivery systems could also give authorities greater visibility into consumer activity. A law introduced in 2023 required banks and stores to accept electronic payments.

However, the benefits of the leisure boom are not equally accessible to all North Koreans. A former Pyongyang driver who later defected to South Korea said many people cannot afford or access the newer restaurants and entertainment facilities. He also said that despite the widespread use of mobile phones in the capital, some residents continue to distrust official systems and prefer cash.

The expansion of consumer activity may therefore provide the government with greater economic control and help stimulate domestic demand, but analysts caution that it is unlikely to guarantee long-term public loyalty. The strategy may give Kim’s government more economic breathing room, but increased consumption alone cannot permanently resolve deeper economic and political pressures.