Asian Currency Crises and the IMF

Ito Takatoshi

doi:10.15057/21779

Bibliographic Information

Other Title

アジア通貨危機とＩＭＦ
アジアツウカキキト IMF

Search this article

Description

This paper considers factors that contributed to the currency crisis and the role of the IMF in the crisis. The main common reasons for crises in Thailand, Indonesia, and Korea are (1) Dollar peg regime (2) fragile banking system, and (3) large external short-term debts. However, each country has idiosyncratic reasons. Thailand lost foreign reserves in the defense against attacks by speculators. Indonesia suffered from capital flight due to mistrust of financial and political systems. Korea's problem was like a bank run in the international banking. IMF programs that do not address the crux of the matter were ineffective. In order to prevent another Asisan-type crisis, monitoring of short-term capital inflows is essential. Once a crisis occurs, either a large support program (Iender of last resort) or a moratorium (forced roll over) should be considered.

Journal

経済研究

経済研究 50 (1), 68-93, 1999-01-27

岩波書店