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• Traffickers switch from fake notes to fake smokes ($$) 

North Korea has reduced drug trafficking and currency counterfeiting in the face of a US-inspired crackdown but has increased production of counterfeit cigarettes, a US Congress researcher has said.

Raphael Perl, of the Congressional Research Service, said in Washington on Thursday that it had become more difficult for North Korea to trade in drugs and illegal cash.

"We have no evidence of any seizures of either illicit narcotics or counterfeit currency in the last six months," Mr Perl said.

"But at the same time, there are indications that the production of counterfeit cigarettes is increasing."

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