Asian Financial Crisis

By GERALD TAN & TRISHANK KARTHIK

It is ironic to know that a few moments can change the outcome of whole lifetimes. And in today's technological age, with a press of a button,speculators can cause economies to collapse, and millions of lives forever changed.


No Asian would have probably imagined the wounds and pain they are living through today. Can we blame them? Asiahad been the fastest growing region in the World. Malaysia called the Multimedia Super Corridor "Malaysia's gift to the World".Now, these dreams are shattered, broken into little pieces which would require too much time, effort and patienceto piece them together again.

What began as a Thai currency crisis set Asia on a downwardspiral that has shown no signs of ending. While stock markets plunge,unemployment is heading the opposite direction. Currencies have devastated middle-class budgets, falling 50% in the Philippines, 61% in Malaysia, and a sickening 377% in Indonesia. Stock markets have demolished family assets, sinking 44% in Hong Kong, 43% in Singapore and4 1% in Thailand.

Now, one year after it all began, Asians are still questioning the cause for this crisis. Some say it is the lack of transparency in Asian Governments. Others, like Malaysian Prime Minister Dr Mahathir Mohamad, believes it is the dirty work of currency speculators. He called George Soros a "moron" and classified his doing as a crime.

It is hard for Asians, or at least, most Malaysians not to believe him. Booming economies don't suddenly collapse for no good reason. Dozens of banksclosed doors, and now, half of Indonesia's population is unemployed. Dr Mahathir's call for regulation of currency trading is now echoed by George Soros, whose Quantum Investment Fund has also suffered losses.


Asians are having a really bad time. In Indonesia, one of the worse hit countries, angry protestors have brought 32 years of authoritarian rule to a sudden and dramatic end, as Time Magazine calls it the "10 days that shook Indonesia". Vice President Bucharuddin Jusuf Habibie was immediately sworn in as president of the fourth most-populous country in the world. On May 1998, Indonesian natives, blaming Chinese for the crisis, literally raped, looted, ropped and in some cases, burned alive by angry mobs of Indonesians. Chinese make up 4% of Indonesia's population but were said to control 75% of the economy. So far, over 1000 cases of murder and rape have been documented. So far, over 1000 cases of murder andrape have been documented. Also, increasing evidences indicate that minorities in East Timor were also subject to similar terror and atrocities.

Soon, websites were developed on the Internet carrying messages such as "Please Help Us!" by Indonesian Chinese and putting dozens of grousome and disturbing photos of dead naked women who were raped and burned. Alas, one hungry man is one angry man.

"Why are so many journalists trying to make the Indonesian ethnic Chinese minority seem filthy rich, cold hearted, and evil, and on the other hand, try to portray the Indonesian pribumi (Malay) rioters, who would not even spare the life of an innocent 3 year old little girl, as mild mannered ?" -- quoted from "Indo Chaos".


In countries such as Malaysia, Singapore, Japan and the Phillipines where economy is still within the grasp of political hands, the life of their citizens are not badly affected by the economic slowdown. The lives of the people in those countries are tolerable and people still go on with their daily lives. Men work, women cook, children play. Everyone seems to still have enough money for just about everything they need. However, the people in "the better places" also live in fear, not unlike the citizens in other countries where the economic situation is worse. They too live in fear thinking about the next steps, the next moves, and the next future.

It is the hope of all Asians, young or old, for their continents' economy to become as strong as it was, or even more, back again. Asians, have an absolute goal in their minds: regain the roar of the Tiger behind Asia.


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Produced by the ThinkQuest Team 18220: Gerald Tan, Ryan Lim and Trishank Karthik