Part 5/8:
The crisis is often traced back to Thailand, where a series of events in 1997 ignited the broader downturn. A milestone moment occurred in February 1997 when a property developer faced severe financial challenges. However, the actual catalyst arrived in the summer when the Thai baht faced a collapse, marking the beginning of widespread financial turmoil.
Indonesia emerged as one of the hardest-hit nations, experiencing growth rates plummeting to over -3%. Despite the Indonesian government's budget being in surplus and the country enjoying significant export growth, external vulnerabilities became glaringly apparent once the crisis struck.