South Korea: Economy of South Korea 1990s and The Asian Financial Crisis Default (Film)

President Suharto sacked Bank Indonesia Governor J.
Soedradjad Djiwandono, but this proved

insufficient. Amidst widespread rioting in May 1998, Suharto resigned under public pressure and
Vice President B. J. Habibie replaced him.
As a result of the financial crisis that hit the country, many factors arising from all aspects including
sports broadcasts broadcast on Indonesian television include:
1. All 6 Indonesian television (TVRI, RCTI, SCTV, MNC TV (formerly known as
TPI), ANTV and Indosiar) was unable to secure the official broadcast of the 1998 Formula One
season. RCTI finally secured the broadcast for 1999
2. The 1997-98 Serie A, 1997-98 Bundesliga and 1997-98 La Liga which was originally broadcast
by ANTV was forced to stopped broadcasting before the end of the season. But this did not affect
the 1997-98 FA Premier League as they had already broadcast it until the end of the season
3. All television stations in Indonesia have limited broadcast schedules with an average ending
broadcast hour at 11:30 pm
South Korea[edit]
Further information: Economy of South Korea § 1990s and the Asian Financial Crisis
See also: Default (film)
The banking sector was burdened with non-performing loans as its large corporations were funding
aggressive expansions. During that time, there was a haste to build great conglomerates to compete
on the world stage. Many businesses ultimately failed to ensure returns and profitability.
The chaebol, South Korean conglomerates, simply absorbed more and more capital investment.
Eventually, excess debt led to major failures and takeovers. The Hanbo scandal of early 1997
exposed South Koreas economic weaknesses and corruption problems to the international financial
community.[42][43] Later that year, in July, South Korea's third-largest car maker, Kia Motors, asked for
emergency loans.[44] The domino effect of collapsing large South Korean companies drove the
interest rates up and international investors away.[45]
In the wake of the Asian market downturn, Moody's lowered the credit rating of South Korea from A1
to A3, on 28 November 1997, and downgraded again to B2 on 11 December. That contributed to a
further decline in South Korean shares since stock markets were already bearish in November.
The Seoul stock exchange fell by 4% on 7 November 1997. On 8 November, it plunged by 7%, its
biggest one-day drop to that date. And on 24 November, stocks fell a further 7.2% on fears that the
IMF would demand tough reforms. In 1998, Hyundai Motor Company took over Kia
Motors. Samsung Motors' $5 billion venture was dissolved due to the crisis, and
eventually Daewoo Motors was sold to the American company General Motors (GM).
The International Monetary Fund (IMF) provided US$58.4 billion as a bailout package.[46] In return,
Korea was required to take restructuring measures.[47] The ceiling on foreign investment in Korean
companies was raised from 26 percent to 100 percent.[48] In addition, the Korean government started
financial sector reform program. Under the program, 787 insolvent financial institutions were closed
or merged by June 2003.[49] The number of financial institutions in which foreign investors invested
has increased rapidly. Examples include New Bridge Capital's takeover of Korea First Bank.
The South Korean won, meanwhile, weakened to more than 1,700 per U.S. dollar from around 800,
but later managed to recover. However, like the chaebol, South Korea's government did not escape
unscathed. Its national debt-to-GDP ratio more than doubled (approximately 13% to 30%) as a result
of the crisis.
Philippines[edit]
Further information: Economy of the Philippines
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In May 1997, the Bangko Sentral ng Pilipinas, the country's central bank, raised interest rates by
1.75 percentage points and again by 2 points on 19 June. Thailand triggered the crisis on 2 July and
on 3 July, the Bangko Sentral intervened to defend the peso, raising the overnight rate from 15% to
32% at the onset of the Asian crisis in mid-July 1997. The peso dropped from 26 pesos per dollar at
the start of the crisis to 46.50 pesos in early 1998 to 53 pesos as in July 2001.

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President Suharto sacked Bank Indonesia Governor J.

Soedradjad Djiwandono, but this proved

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