This article provides a detailed overview of the typical cost structure for creating and maintaining a standard joint venture company in the Democratic People’s Republic of Korea (North Korea) as of 2025. The focus is on costs associated with company formation and annual operations, using official source data currently available for business entities in the country.
Company Creation Costs in North Korea (2025)
Establishing a business presence in North Korea, particularly for foreign investors or through joint ventures (합영회사), is subject to regulatory oversight and varying administrative requirements. However, official figures for the average cost of company formation are not publicly disclosed by North Korean authorities.
| Cost Item | Amount (KPW) | USD Equivalent* |
|---|---|---|
| Minimum capital requirement | Not disclosed | Not disclosed |
| Registry fees | Not disclosed | Not disclosed |
| Notary/legal documentation fees | Not disclosed | Not disclosed |
| Average lawyer fees | Not disclosed | Not disclosed |
*USD conversion is unavailable due to the absence of disclosed figures and official exchange rates.
The lack of available data may stem from limited public disclosures and shifting regulatory environments within the DPRK. Business formation procedures for joint ventures with foreign participation are typically handled under dedicated government supervision, and related costs can vary depending on negotiations and sector-specific agreements.
Ongoing Annual Maintenance Costs
For businesses operating in North Korea, annual company maintenance costs often include regulatory filings, accounting, taxes, and mandatory insurances. As of 2025, precise figures for routine annual expenses have not been published by official DPRK sources. Below is a summary of the standard cost categories observed internationally, with specific amounts for North Korea currently undisclosed:
| Maintenance Expense | Annual Cost (KPW) | USD Equivalent* |
|---|---|---|
| Annual declaration fees | Not disclosed | Not disclosed |
| Mandatory accounting services | Not disclosed | Not disclosed |
| Tax filing fees | Not disclosed | Not disclosed |
| Insurance premiums | Not disclosed | Not disclosed |
*No official sources provide current amounts or applicable USD exchange rates as of 2025.
Official References for Company Costs in North Korea
- Naenara Official Government Portal
- UNCTAD Investment Laws – DPRK
- Doing Business – Korea, Dem. People’s Rep.
Pro Tips for Navigating Company Costs in North Korea
- Always initiate business registration and investment discussions through official government portals or directly with recognized DPRK authorities to ensure compliance with local regulations.
- Engage with legal or business advisory professionals who have experience in the North Korean market to clarify expected costs and requirements, as these can fluctuate based on sector and investment size.
- Prepare for potential changes in the regulatory and financial landscape, given that public cost data is sparse and subject to government policy adjustments.
In summary, cost transparency for founding and maintaining a company in North Korea remains limited as of 2025. While the categories of standard expenses—such as legal fees, registration, and annual compliance—are in line with international practice, official figures are not disclosed. Anyone considering business activities in the country must be prepared to work closely with local authorities and utilize official channels for the most current information and compliance guidelines.