What does Asian crisis mean?

Asian crisis meaning in Economics Dictionary

During 1997-98, a number of the eastern Asian tiger economies experienced a severe finanical and overall economy. This had huge effects the worldwide financial areas, which had become increasingly exposed to the vow that Asia had appeared to provide. The crisis ruined wealth on a massive scale and sent absolute poverty shooting up. Within the banking system alone, business financial loans comparable to around 1 / 2 of one-year's GDP went bad - a destruction of savings on a scale much more frequently associated with a full-scale war. The particular cause of the crisis continues to be a matter of debate. Fingers were pointed in the money peg followed by some countries, and a reduction of money controls within the years before the crisis. Some blamed financial contagion. The crisis introduced an-end to a then widespread belief that there was a distinct "Asian means" of capitalism that might show just as effective as capitalism in the us or Europe. Rather, critics switched their fire on Asian cronyism, ill-disciplined financial and decreased transparency. In the many years following crisis, most of the nations involved have introduced reforms made to boost transparency and improve the wellness of this bank system, though some (like South Korea) moved a lot further than others (including Indonesia).