ABSTRACT
Ten years ago, what started off as a currency crisis in Thailand quickly evolved into a much broader economic, social and political crisis engulfing the whole region. Although the crisis only directly affected four countries – Thailand, Indonesia, Malaysia and Korea – few countries in the region were left unscathed. As the crisis unfolded, the collapse of stock markets, currencies and banks, widespread bankruptcy and unemployment brought about social unrest and the overthrow of longstanding political leaders across the region. So in many ways, the Asian financial crisis proved to be a watershed event in the history of the region. The tenth anniversary of the crisis has provided an opportunity to take stock on how Asia has fared since and assess the new challenges posed by the return of capital flows into the region.
