Part 7/10:
By mid-1997, the situation deteriorated dangerously. The central bank of Thailand had to discreetly supply liquidity to its failing banks, but as reserves dwindled, the government was forced to end the fixed currency peg to the dollar on July 2, 1997. The Thai Baht plummeted, exacerbating the already dire financial circumstances. Unable to repay loans denominated in dollars, many banks and firms quickly became insolvent.