Breaking Free of the Crisis

A decade ago, people were in shock. Asia’s extraordinary economic growth had suddenly stalled and then collapsed, followed by drastic suffering. Starting in Thailand, on July 2, 1997, the economic crisis stormed Asia. Indonesia was hit the worst. The value of the rupiah fell, interest rates rocketed, and prices went through the roof. It was a living nightmare: thousands of companies went bankrupt, there was widespread unemployment, and millions fell into poverty.

One decade later—our present day—the Indonesian economy has not only regained consciousness, but has managed to rejuvenate itself. Thailand and South Korea did recover sooner, but Indonesia has learned the moral of the story: The New Order and Suharto have passed, and democracy has thrived. This has been an important part of becoming a better country.

July 24, 2007

July 2, 1997, events which are hoped will never repeat themselves. Thailand Minister of Finance Thanong Bidaya finally gives way to the work of speculators. Control over the baht has to be released in order to hold on to rapidly leaking reserves of foreign currency. Like a breach in a dam, this torrent of a financial crisis crashed through the economies of three Asian nations: Thailand, Indonesia, and South Korea.

Although not affected as badly

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