Submitted by: Submitted by anyss87
Views: 732
Words: 4770
Pages: 20
Category: Business and Industry
Date Submitted: 03/08/2011 08:22 AM
Table of content Page
1.0 Introduction 2
2.0 The Starting Point of the Financial Asia Crisis 3
3.0 The Impact that effect Malaysia and what the Government 8
Would do
4.1 Impact on the KLSE 10
4.2 Impact on Business Confident Level 11
4.3 Impact on foreign Direct Investment 11
4.4 Impact on monetary Policy 13
4.0 Conclusion 18
5.0 Reference list 19
INTRODUCTION
Travel is the leading industry in many East Asian countries. Among them Thailand, Singapore and Hong Kong are also visited by tourists, but destinations such as Indonesia, the Philippines, South Korea, Malaysia and China have already closed the gap and successfully developed a strong brand recognition by attracting more and more tourists (Davies, 2003).
After a period of economic upturn in the beginning of the 1990s, Asia has been concussed by a severe fiscal crisis in 1997. As the name implies the Asian Financial Crisis happened in Asia, more precisely in the Eastern Pacific Part of Asia. Countries that have been affected most by the crisis are Indonesia, South Korea and Thailand. But also the Philippines, Malaysia, Laos and Hong Kong and even Australia had to deal with the unfavorable situation.
Meanwhile Asia has been suffering some severe crises during the last decade, affecting the region as a tourism destination and hence the overall economic performance. Alongside terrorism threats as a result of the attacks in Bali, the area also went through a period of economic instability in the late 1990s, known as the Asian Financial Crisis. Lasting only a bit longer than two years nobody saw it coming, although there have been similar crises before since the 17th century, one of the latest in Latin America in the 1980s (Prideaux, 1999).
What is the starting/trigger point of the crisis
The Asian financial crisis taking Asia by storm...