The news that the reclusive leader watched a match between Kim Il-Sung University and Pyongyang University of Railways on October 4 is the first official report of his activities since foreign intelligence agencies said he had suffered a stroke.
Kim found the long hair sported by some of the students "disgusting," and said: "I can't tell if this is men's soccer or women's soccer."
Soon after the match, notices were posted in workplaces nationwide banning long hair for men, the paper said.
Japan's Yomiuri Shimbun newspaper reported on Saturday that diplomats at all North Korean embassies have been told to wait for an important message from the government, believed to be related to Kim's health.
However, the South Korean Unification Ministry said it had no information confirming the report, South Korea's Yonhap news agency reported on Monday.
Kim Jong-il has ruled North Korea since 1994, when he succeeded his late father Kim Il-sung, the communist state's founder.