Thailand - The Currency Crisis and Beyond


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Please note:

This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.

Case Details:

Price:

Case Code : ECOA105 For delivery in electronic format: Rs. 300;
For delivery through courier (within India): Rs. 300 + Rs. 25 for Shipping & Handling Charges

Themes

-
Case Length : 12 Pages
Period : 2003
Organization : -
Pub Date : 2003
Teaching Note : Not Available
Countries : Thailand, Asia
Industry : -

Abstract:

Thailand, one of South East Asia's most important countries, had seen 17 military coups since the removal of absolute monarchy in 1932. Civilian governments had often been short-lived and unstable. During the Asian currency crisis, the baht lost half its value. Half the country's loans turned non-performing and output plummeted. Following the Asian currency crisis, the Thaksin administration attempted to use fiscal policy to facilitate a sustained economic recovery. Policies to diversify export markets and promote agricultural exports were also announced. Incentives were offered to substitute imports with locally produced goods.

But most economists believed Thailand had to do a lot more to get rid of the excesses that had led to the 1997 currency crisis. The case illustrates the need for developing countries to have sound financial systems to absorb huge capital inflows.

Contents:

  Page No.
Introduction 1
Background Note 3
Economic Policies 4
The Industry 7
Foreign Trade 7
Social Policies 9
Future Outlook 10
Exhibits  

Keywords:

Thailand case study, Baht, Asian currency crisis, Thaksin Shinawatra, Thai Rak Thai party, Siam, Thai Asset Management Corporation, Thiraphong of Thai Union Frozen, National Counter-Corruption Commission, Thailand economic policy, ASEAN (Association of Southeast Asian Nations) Free Trade Area, Thailand social policy, Thailand industry, Thailand foreign trade, South East Asian trade block

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