During the 1997 Asian financial crisis, Thailand’s SET Index fell 55.8%.
The crisis began in Thailand after pressure on the baht forced the country to abandon its fixed exchange-rate system on July 2, 1997. Currency weakness damaged companies and financial institutions with foreign-currency debts, while investors rapidly withdrew capital from several Asian markets.
Thailand’s stock market reflected the wider economic shock. Falling share prices, bank failures, corporate insolvencies, and emergency international assistance spread through the region. Indonesia, South Korea, Malaysia, and other economies experienced different combinations of currency and market stress.
The SET Index is Thailand’s principal stock-market benchmark. It is sometimes confused with the Hang Seng Index, which measures Hong Kong-listed shares, or the KOSPI, South Korea’s main index.