What name is given to the 1997 crisis that began in Thailand and spread across several Asian financial markets?

The 1997 crisis that began in Thailand and spread across several Asian financial markets is called the Asian financial crisis.

Thailand’s government abandoned the baht’s fixed exchange-rate system on July 2, 1997, after intense pressure on its foreign-exchange reserves. The baht then depreciated sharply, and investor confidence weakened across the region.

Indonesia, South Korea, Malaysia, and other economies experienced currency collapses, falling stock markets, corporate failures, and banking distress. International investors withdrew funds rapidly, while many companies had large foreign-currency debts that became harder to repay.

The International Monetary Fund organized major assistance programs, especially for Thailand, Indonesia, and South Korea. Hong Kong’s currency peg survived, although its stock market and economy also faced severe pressure. The crisis showed how quickly capital flows could transmit financial stress between countries.