Which currency crisis preceded the 1997 Asian stock-market crash that began in Thailand?

The Thai baht crisis preceded the 1997 Asian stock-market crash that began in Thailand.

Thailand abandoned the baht’s long-standing peg to the U.S. dollar on July 2, 1997, allowing the currency to float. The baht then lost substantial value, exposing companies and banks with large foreign-currency debts. Investors became concerned about other economies with high debt, weak financial institutions, and vulnerable exchange-rate arrangements.

The turmoil spread across Southeast and East Asia. Stock markets in Indonesia, Malaysia, the Philippines, South Korea, and elsewhere suffered major declines, while currencies also weakened. International rescue programs, including a large International Monetary Fund package for Thailand, followed.

The baht crisis is not the same thing as the entire Asian financial crisis. It was the opening currency shock in Thailand; the broader episode involved banking failures, capital flight, corporate debt, and policy responses across several countries. The Indonesian rupiah and South Korean won later became major symbols of the regional turmoil.