Contact Us
Sign In / Sign Up for FREE
Go to advanced search...

Malaysia Exchange Controls during the Asian Crisis - Research Paper Example

Comments (0) Cite this document
The present paper is prepared with the objectives of finding out the reasons for the financial Asian crisis and Malaysia exchange controls, what happened and what was the extent of damage, measures to control the crisis, shortcomings and future strategies. …
Download full paper File format: .doc, available for editing
GRAB THE BEST PAPER91% of users find it useful
Malaysia Exchange Controls during the Asian Crisis
Read Text Preview

Extract of sample "Malaysia Exchange Controls during the Asian Crisis"

Download file to see previous pages Even though the government of Malaysia had implemented some exchange control measures, they could result in partial success only. It is mainly due to the accumulation of several global and domestic factors and lack of contingency planning. Hence it should learn lessons from this experience which would be used in the formulation of future financial strategies. The present report discusses all these aspects in detail.
In 1997-98 there was a severe financial crisis experienced by the countries of southeast Asia famously known as tiger economies (Stephen Haggard, 2000). Malaysia also faced this crisis severely. The reasons for this crisis were many as felt by the researchers (Wing Thye Woo, 2000). The main causes are uncontrolled foreign investment in the country, allowing capital flight from Malaysia to other countries, magnifying the currency situation at the international level and inefficient monitory policy. Reacting to the crisis in the initial weeks the Malaysian government has taken initiatives to regulate foreign exchange as the devaluation of Ringgit has been very fast. However, its measures could not bring much equilibrium to the financial condition of Malaysia and hence it needs to be analyzed so that the loopholes can be identified and one can be accurate in formulating any exchange control measures in the future.

In early 1997, the Malaysian stock market index began a downward spiral together with stock markets of several ASEAN countries like Thailand and Indonesia. On 14 July 1997, Bank Negara of Malaysia gave up the defense of the Malaysian ringgit after jacking up the short rate to 50% and spending US$10 billion on unsuccessful monetary operations. There were huge amounts of foreign capital has entered Malaysia in previous years (prior to 1997-98) which was uncontrolled in nature by the Malaysian government. This capital was mainly of short term in nature and was also highly conditional.  ...Download file to see next pages Read More
Cite this document
  • APA
  • MLA
(Malaysia Exchange Controls during the Asian Crisis Research Paper, n.d.)
Malaysia Exchange Controls during the Asian Crisis Research Paper. Retrieved from
(Malaysia Exchange Controls During the Asian Crisis Research Paper)
Malaysia Exchange Controls During the Asian Crisis Research Paper.
“Malaysia Exchange Controls During the Asian Crisis Research Paper”, n.d.
  • Cited: 0 times
Comments (0)
Click to create a comment or rate a document

CHECK THESE SAMPLES OF Malaysia Exchange Controls during the Asian Crisis

Asian Currency Crisis

... to its financial growth. Such, this continuous capital inflow into Thailand formed into a bubble fueled by “hot money” and not by total productivity output. And as the bubble furtherly developed, it required more and more “hot money” needed to sustain it until it burst resulting to the Asian Financial Crisis of July, 1997. During these time also, Thailand already accrued so much debt that The same thing ensued in Malaysia and Indonesia where economic growth was fueled more by capital inflow rather productivity output. Aggravated by the “crony capitalism” prevalent in those countries where development money and capital infusion went to those who are close to the centers of power. One of the factors that caused the crisis was due...
2 Pages (500 words) Research Paper

Asian Financial Crisis 1997

... level of economic activity, i.e. consumption and investment. Nevertheless, that flow did not last long; in fact, during 1997/98 there was a huge outflow of capital accompanied by a very low level of economic activity, which led to the financial crisis of 1997/98. This crisis went beyond the country's control, and the International Monetary Fund stepped in to bail Thailand out with billions of dollars. From 1975 to 1989, economic and political conditions, both internal and external, were conducive to Thailand's growth. Whereas most of the lesser developing countries (LDCs) were pursuing import substitution policies to achieve self-sufficiency, Thailand and a few other East Asian countries were pursuing export-led growth strategies. Moreover...
48 Pages (12000 words) Coursework

East Asian Financial Crisis

The intention of this study is the East Asian financial crisis of 1997-98 that culminated into one of the most devastating global shocks in the twentieth century. Its far-fetched effect could be compared with nothing less than that of the Great Depression of 1930s which had entwined the US economy into stagflation. In fact, what prevented the 1930s depression from spreading out throughout the world was the lack of ample networking among various economies. On the other hand, the impact of the East Asian crisis by the end of the millennium was more brutal or burgeoned due to a close-knitted financial relationship already been accomplished between them. The link was especially prominent among the underlying economies in South East As...
11 Pages (2750 words) Essay

An Analysis of the Differences in Brain Processes of Males and Females during Language Tasks

Such is the case with the development of cognitive functions and language skills. While the brain may have complexities that we simply haven’t even yet scratched the surface of, seemingly every day there are advancements in our knowledge of brain functions.

MRI’s and various cognitive function tests have shown that males and females use different parts of their brains while performing the exact same language tasks; the biological basis for this is due to the organizing effects of testosterone and estrogen. Females have long been known to be slightly ahead of males as far as language skills at younger ages, but this could also be attributed to the fact that overall females develop earlier than males and reach...
7 Pages (1750 words) Case Study

The American Nation: A Melting Pot of Asian Americans

As a result, American society is experiencing dramatic transformations (Skop & Li, 2005).
The Asian community in the United States is a cultural group that has assumed form since the passing of the 1965 immigration legislation. Even though Asians have been arriving in the United States since the middle of the 1980s, only in the previous four decades have the waves been remarkable. At some stage in that period, the U.S. Asian population has increased dramatically, and Asians one of today’s fastest-growing ethnic and racial minorities in the nation (ibid).
Asian immigration to and settlement in the United States is somewhat well recognized. Generally, Asian immigrants are geographically concentrated, with the imm...
7 Pages (1750 words) Assignment

Production of Lustre Painted Ceramics During the Fatimid Period

Glazed ceramics represent a very small percentage of the total ceramic production during the medieval Muslim world. The majority of domestic earthenware comprised unglazed storage and transport jars for items such as grain, oil and water, and unglazed bowls, platters and receptacles, which were made for the kitchens, pharmacy or the market shop. However, glazed and painted ceramics were highly sought commodities in urban as well as courtly settings2.

Medieval sources refer to pottery or ceramics as Khazar, fakhkhar, and chadar, and the generic term sini is used particularly for fine glazed ceramics. The term sini is derived from the Arabic word for China – al-Sin – since both potters and consumers of the med...
10 Pages (2500 words) Case Study

The Architectural Qualities of The Petronas Twin Towers, Kuala Lumpur, Malaysia

The plan is to develop an iconic area within the Golden Triangle, a commercial hub of the capital district to exemplify Malaysia as a fully developed nation in the world. The Twin Towers and its outlying areas as a consequence are set as a response to the challenge of transforming KLCC into information technology and environmentally friendly city without losing its cultural heritage. The Twin Towers have also been designed as a response to climate change and the sense of adapting contemporary design into space, place and culture of Malaysia. What makes the Twin Towers unique is that it is considered one of the tallest buildings (at 452 meters) in the world, ranking among Sears Towers, Empire State Building in the US and Taipei 101...
7 Pages (1750 words) Report

Developing a Strategy to Enhance Workplace Learning in Workplace at Travelex Foreign Exchange

As earlier stated, I have chosen to answer Option No. 1 which is about drafting and crafting a strategic plan which can be implemented in my workplace as a learning workplace on the basis of its analysis and identification made in the earlier assignments. As also required, the initial paragraph, following this, makes a brief review of what has been done in Assignments 1 and 2. Since as a Training Coordinator, my job entails the induction, training and assessment of the progress of the new hires, I have focused my answer to these three areas and divided the paper into Induction and Training, and; Assessment/Evaluation.

The first assignment was about the physical and social environments of the workplace and in that assign...
8 Pages (2000 words) Assignment

The Effects of Financial Crisis on Supplier Selection Criteria of the Oil and Gas Industry Equipment Market

It is a difficult task to find those vendors who not only have the adequate quality and quantity of the needed raw materials but who also have an attitude of efficiency and display commitment to customer service (Sonmat, 2006). Further, organizations also strive to locate and select vendors who can be depended upon for long term relationship.

The number of factors or attributes desired from the vendor is vast, and different organizations and different industries place different importance on the attributes (Sonmat, 2006). Some of the vendor attributes may gain importance owing to the nature of the industry, for example, in the case of consumer perishables suppliers, like fresh vegetables or fruits, the buying firm would...
20 Pages (5000 words) Literature review

Racism in America: Asian Americans

The first aspect that we are going to discuss is undeserved impoverishment and enrichment. Ten of the U.S. presidents enslaved black people at some point in their lives. American history is full of politicians including George Washington who enslaved African Americans (Feagin 14). These tyrants viewed the black Americans as weak, inferior and collapsed and believed that only blacks deserved to be enslaved. Therefore it would not be false if we say that American slavery was racial. The blacks had no freedom at all in that society and were treated worse than horses. If a black American ran from the master, the other people would bring him back to the master and the master would punish the slave and brutalize him. The women slaves we...
10 Pages (2500 words) Assignment

Bernard Madoff : A Scapegoat of the Economic Crisis

Darwin was condemned and treated with contempt by the Church for proposing the theory of evolution that linked all living matter in the earth, including humans. In the case of Bertrand Russell, he was imprisoned as a conscientious objector, for expressing his opposition to British participation in the First World War. These are typical examples of people being wrongfully punished when they were guilty of no crime or fraud or misdoing. It would be highly improper to associate Bernard Madoff with the aforementioned luminaries, for he was truly guilty of carrying out the biggest financial fraud in modern history. At the same time, it would be simplistic to classify him as a victim of the contemporary judicial system. The truth, in fa...
6 Pages (1500 words) Assignment

Energy Expenditure During Walking and Jogging

Although walking is frequently dismissed as too easy or not difficult enough by fitness experts, the exercise itself bestows just as much benefit to the exerciser as jogging or running, with less of the jarring effects of more intense locomotion. This leads to a dramatically lower dropout rate of participants, meaning staying motivated is simpler on a walking regimen. Jogging, in contrast, requires additional effort without statistically significant improvements in time used in the workout, which leads to questions of whether walking or jogging is the more beneficial activity given the same resources. Based on the evidence that negates claims of an advantage for jogging, and evidence that jogging can lead to damage of body structu...
7 Pages (1750 words) Assignment

Minimum Wages during Economic Downturns

The effects of changes in the minimum wage are often tremendous and impact differently to the employers. This paper presents the resulting effects of an increase of minimum wage to employers in the American economy (Papps, Pg. 46).
The main intention of a minimum wage is that of boosting families with low income out of poverty. This concept has however been proved to be wrong because an increase in the wage has not changed the lives of the workers. It has served however to enable them to increase their purchasing power and adjust to their unresolved needs and not to alleviate them from poverty. Unfortunately, apart from all these good intentions, there are several adverse effects that have been associated with the imposition...
6 Pages (1500 words) Case Study
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.

Let us find you another Research Paper on topic Malaysia Exchange Controls during the Asian Crisis for FREE!

Contact Us