How did Indonesia respond to the Asian financial crisis?

In response to the current financial crisis and the resulting pressure on employment, the Indonesian government is determined to fully implement the Social Security System (SJSN) Law of 2004, which calls for universal social security coverage in both the formal and the informal economy in Indonesia, before the set …

How did Thailand Indonesia and Malaysia respond to the financial crisis?

IMF’s Role in the Asian Financial Crisis The bailout packages are structural-adjustment packages. The countries that received the packages were asked to reduce their government spending, allow insolvent financial institutions to fail, and raise interest rates aggressively.

How Indonesia confront the challenges of globalization and regionalization?

the Asian financial crisis. China’s ascent has been driven by its export-led growth policy since joining the WTO in 2001. Mass production of manufactured consumption goods has boosted China’s economic growth and also created spillovers to neighbouring regions that provide raw materials.

How much is Indonesia’s debt?

In 2020, the national debt of Indonesia amounted to around 393.09 billion U.S. dollars….Indonesia: National debt from 2016 to 2026 (in billion U.S. dollars)

Characteristic	National debt in billion U.S. dollars
2019	336.54
2018	313.96
2017	277.83
2016	241.12

What caused the 1997 Asian financial crisis in Indonesia?

During the 1997 Asian Financial Crisis, confidence in the Indonesian government plummeted. Foreign investment fled the country as the value of the rupiah fell to historic lows. Confronted with the loss of their bright futures, thousands of students poured out of the classroom to protest President Suharto’s crony capitalism.

What are the effects of the Asian financial crisis?

Effects of the Asian Financial Crisis. The countries that were most severely affected by the Asian Financial Crisis included Indonesia, Thailand, Malaysia, South Korea, and the Philippines. They saw their currency exchange rates, stock markets, and prices of other assets all plunge.

What countries did the IMF help during the Asian financial crisis?

The IMF-Supported Programs The IMF was called in to provide financial support for three of the countries most seriously affected by the crisis: Indonesia, Korea, and Thailand. The strategy to address the crisis had three main components:

Why did Indonesia seek financial assistance from the International Monetary Fund?

New foreign exchange supplies were scarce as new loans for Indonesian companies were not granted by foreign creditors. As the government of Indonesia was unable to cope with this crisis it decided to seek financial assistance from the International Monetary Fund (IMF) in October 1997.