What was the name of the 1994 Mexican financial crisis after the peso was devalued?

The 1994 Mexican financial crisis after the peso was devalued was the Mexican peso crisis.

The crisis began in December 1994, shortly after Mexico’s new administration took office. Investors became concerned about Mexico’s foreign-exchange reserves, its current-account deficit and short-term dollar-linked debt known as tesobonos. The government devalued the peso, but the move intensified market panic rather than restoring confidence.

The peso lost a large portion of its value, and Mexico faced difficulty refinancing its dollar obligations. The United States, the International Monetary Fund and other institutions assembled a multibillion-dollar support package. The episode caused a deep recession in Mexico and produced financial effects beyond the country’s borders.

The crisis is also widely known by the nickname Tequila Crisis. That nickname is a common alternative, but “Mexican peso crisis” is the direct historical name. It should not be confused with the 1997 Asian financial crisis, which began with Thailand’s currency problems.