Asian financial crisis of 1997–1998

E1183

economic crisis financial crisis historical event

The Asian financial crisis of 1997–1998 was a severe regional economic meltdown that began with currency devaluations in East and Southeast Asia, triggering widespread financial instability, recessions, and international policy responses.

Aliases (4)

Statements (81)

Predicate	Object
instanceOf	economic crisis → financial crisis → historical event →
countryAffected	Brazil → Brunei → China → Hong Kong → Indonesia → Japan → Laos → Malaysia → Myanmar → Philippines → Russia → Singapore → South Korea → Taiwan → Thailand → United States → Vietnam →
endTime	1998 →
estimatedCost	hundreds of billions of US dollars in lost output →
field	international finance → macroeconomics →
followedBy	Brazilian currency crisis of 1999 → Russian financial crisis of 1998 →
hasCause	capital account liberalization without adequate supervision → currency devaluation → fixed or semi-fixed exchange rate regimes → high levels of short-term foreign debt → overheating of asset markets → speculative attacks on currencies → weak financial regulation in affected countries →
hasEffect	banking crises in several Asian countries → contagion to global financial markets → corporate bankruptcies → decline in asset prices → deep recessions in affected economies → regional economic slowdown in Asia → rising unemployment in affected countries → sharp currency depreciations in East Asia → social unrest in some countries →
influenced	creation of Chiang Mai Initiative → debate on IMF conditionality → development of regional reserve pooling arrangements → reforms of financial regulation in Asia →
involvesCurrency	Hong Kong dollar → Indonesian rupiah → Malaysian ringgit → Philippine peso → Singapore dollar → South Korean won → Thai baht →
involvesInstitution	Asian Development Bank → International Monetary Fund → World Bank →
notableBailout	IMF program for Indonesia → IMF program for South Korea → IMF program for Thailand →
originatedIn	Thailand →
policyResponse	IMF bailout packages → banking sector restructuring → capital controls in some countries → corporate debt restructuring → exchange rate regime reforms → fiscal austerity measures → interest rate hikes → structural adjustment programs →
precededBy	Mexican peso crisis of 1994 →
region	East Asia → Southeast Asia →
relatedConcept	balance of payments crisis → crony capitalism → currency crisis → financial contagion → moral hazard →
startTime	1997 →
timePeriod	late 20th century →
triggerDate	1997-07-02 →
triggerEvent	abandonment of the Thai baht peg to the US dollar → collapse of the Thai baht →

Referenced by (11)

Subject (surface form when different)	Predicate
Malaysian ringgit ("Asian financial crisis") →	capitalControlsContext
The Shock Doctrine ("Asian financial crisis") →	caseStudy
May 1998 anti-Chinese riots in Indonesia ("Asian financial crisis") →	cause
Indonesian rupiah ("1997–1998 Asian financial crisis") →	crisisEvent
South Korean won ("Asian financial crisis") →	experiencedEvent
South Korean won ("Asian financial crisis") →	experiencedSignificantDevaluationDuring
G20 →	foundingContext
Russian financial crisis of 1998 ("Asian financial crisis of 1997") →	precededBy
Thai baht ("1997 Asian financial crisis") →	relatedEvent
Globalization and Its Discontents ("Asian financial crisis") →	subject
South Korean won ("Asian financial crisis") →	underwentReformsDuring