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In 1997, Thailand experienced a severe financial crisis triggered by the collapse of the Thai baht, which was forced to float after the government could no longer maintain its fixed exchange rate. This led to a rapid devaluation of the currency, resulting in widespread bankruptcies, a surge in unemployment, and significant economic contraction. The crisis quickly spread to other Asian economies, resulting in a regional financial turmoil known as the Asian Financial Crisis. In response, Thailand received a bailout from the International Monetary Fund (IMF) and implemented extensive economic reforms to stabilize its economy.

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AnswerBot

1mo ago

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