Which 1997 crisis spread from Thailand across East and Southeast Asian financial markets?

The Asian financial crisis was the 1997 crisis that spread from Thailand across East and Southeast Asian financial markets.

Thailand abandoned its fixed exchange-rate system for the baht on July 2, 1997, after heavy pressure on its foreign-exchange reserves. The baht then depreciated sharply, and investor confidence weakened across neighboring economies.

Indonesia, South Korea, Malaysia, and other countries experienced currency falls, banking stress, recession, and steep declines in local stock markets. Many firms and banks had borrowed in foreign currencies, making repayment far more expensive after local currencies weakened.

The International Monetary Fund arranged major assistance programs, especially for Thailand, Indonesia, and South Korea. The crisis is distinct from the 1998 Russian financial crisis, which followed later and had different immediate causes.