Which 1997 crisis began after Thailand abandoned its fixed exchange-rate system, triggering market turmoil across Asia?

The 1997 Asian financial crisis began after Thailand abandoned its fixed exchange-rate system, triggering market turmoil across Asia.

On July 2, 1997, Thailand allowed the baht to float after exhausting foreign-exchange reserves defending its peg to the U.S. dollar. The baht then lost substantial value, and pressure spread to currencies, banks, companies, and stock markets in other economies. Indonesia, South Korea, and Malaysia were among the countries hit particularly hard.

The crisis involved more than currency movements. Many borrowers had accumulated short-term foreign-currency debt, while property and asset prices had risen rapidly. When confidence broke, capital flowed out and refinancing became difficult. The International Monetary Fund arranged assistance programs for several affected countries, although the conditions attached to those programs remain debated. The crisis also contributed to severe recessions and political change, especially in Indonesia and South Korea.