Thailand's Currency Crisis: Effects: Difference between revisions
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===Regional Effects=== | ===Regional Effects=== | ||
* Thailand > Indonesia and Korea > Russia [> Latin America] | * Thailand > Indonesia and Korea > Russia [ > Latin America] | ||
* this Asian crisis pushed one-third of the globe into recession during 1998 | * this Asian crisis pushed one-third of the globe into recession during 1998 | ||
* total world IMF rescue funds because of this: $184 billion | * total world IMF rescue funds because of this: $184 billion | ||
Revision as of 06:02, 29 November 2006
- For Thai citizens, foreign goods were suddenly more expensive.
- Biggest impacts in the financial sectors (i.e. banks).
- Foreign loans loaned out to Thai citizens aren't paying the interest/face value of the original loan.
- Having trouble getting loans because of lack of reliability.
- IMF arranged emergency rescue package of $18 billion for Thailand
Regional Effects
- Thailand > Indonesia and Korea > Russia [ > Latin America]
- this Asian crisis pushed one-third of the globe into recession during 1998
- total world IMF rescue funds because of this: $184 billion
Effects Beyond Asia
- Any country selling to Thailand pre-crisis now gets severe drop in demand.
- Because of this crisis, investors into markets globally pulled out, affecting the global economy. Unfairly affecting developing countries not previously part of the Asia crisis. (i.e. countries in Latin America)
