Twenty-eight years ago today, on July 2, 1997 (May 28, 1997 lunar calendar), the Thai currency implemented a floating exchange rate system, and the Asian financial crisis began. On July 2, 1997, the Ministry of Finance and the National Bank of Thailand announced the implementation of a floating exchange rate system for the Thai currency, abandoning the exchange rate system that the Thai currency has been pegged to the US dollar for many years. The National Bank issued a statement on the 2nd that Thailand implements a floating exchange rate system, and the value of the Thai baht is determined by the market to reflect the basic situation of the economy, which will benefit the development of the Thai economy as a whole. Finance Minister Thanom said that the implementation of a floating exchange rate system is a well-considered solution to the country's economic problems. He said that the implementation of a floating exchange rate system will have a great impact on Thailand's financial marekt in the short term, but will stabilize the Thai currency in the long run. Prime Minister Chavalit said that the announcement by the National Bank of the Thai currency to implement a floating exchange rate system is necessary to adapt to the current economic situation. This is the best way to solve the current economic problems. He said that in the short term, foreign and domestic investors will regain confidence in the Thai baht. After the Thai currency switched to a floating exchange rate system, Thailand's financial marekt was in chaos for a time. The exchange rate of the US dollar against the Thai dollar in the Bangkok foreign exchange market hit a record high of 29.45 baht to the US dollar. The stock market rallied across the board, and the stock price index rose 40 points, from 528 points on the 1st to 568 points. According to expert analysis, the reason for the rise in the stock market is that foreign capital was affected by the sudden devaluation of the Thai currency and could not be remitted, so they had On July 2, 1997, the Bank of Thailand announced that it would abandon the 14-year-old US dollar peg and switch to a free-floating exchange rate system. The baht fell by 20% on the same day, triggering a financial turmoil that swept through the entire East and South East Asia except for the Chinese mainland. The so many new problems and new changes exposed by this crisis, which has been called "the worst crisis in Asia since the end of World War II", far exceeded people's earlier expectations. One year later, people still dare not declare the crisis over with confidence. Looking at the course of the financial turmoil in this year, it can be roughly divided into two stages: the first half of the year was the "formation, spread, and deterioration" period of the crisis, with the corresponding protagonists being Thailand, Taiwan and Hong Kong, and South Korea; the second half of the year was the "recurring" period of the crisis, with the protagonists being Indonesia and Japan. On July 2, 1997, Thailand's currency depreciated, which then spread to the Philippines, Malaysia, Indonesia, and later even Singapore, which was in a very good economic situation, was not spared. From August to September, the foreign exchange and stock markets of the entire ASEAN region fell sharply. On October 17, after Taiwan's "central bank" lost 5 billion US dollars to defend the Taiwan dollar, it suddenly abandoned its previous policy of resolutely defending the Taiwan dollar exchange rate, thus pushing Hong Kong to the center of the financial turmoil, and its linked exchange rate system was violently attacked. On the 18th and 28th, Hong Kong stocks fell by 30%, and the market value decreased by 151.70 billion US dollars. Among them, the Hang Seng Index fell by more than 1,400 points on the 28th, setting a record for a single-day decline, which affected Wall Street and the investment markets in Europe and Latin America. In November, the problems of the Financial Institution Group in South Korea, the world's eleventh largest economy, were frequent. Large enterprise groups went bankrupt one after another, and the Korean won fell by more than half. The whole country fell into a "bankruptcy situation" and had to ask the international monetary fund (IMF) for help. During this period, some large Japanese Financial Institution Groups also closed down one after another. In early 1998, the foreign exchange markets of most East Asian countries rebounded and stabilized, and the stock markets began to rebound gradually after From January to February, due to Indonesia's political instability and lack of cooperation with the IMF, its foreign exchange market fell sharply again, from 9,575 guilders to the dollar at the beginning of the year, once fell below the 17,000 guilders to the dollar mark, and the regional financial marekt began to rise again. In May, the Indonesian political situation under the financial crisis saw a coup, and President Suharto, who had been in power for 30 years, was forced to step down. In early June, Japan finally inevitably became the protagonist of the crisis. The price of the yen against the dollar fell below the psychological barrier of 140 to 1, and broke through the 146 mark on the 15th, forcing the stock and exchange markets of Asian countries to fall again and again. Among them, South Korean stock prices hit a new low in 11 years, and a new round of financial turmoil was clouded. At present, although the joint intervention of the US and Japanese governments in the market at the strong request of Asian countries has initially stopped the decline of the yen, countries still worry that the long-term solution to Japan's economic problems "may cause new financial turmoil in Asia and beyond". Some South Korean women have exchanged their temporarily unused dollars for South Korean won to help the government weather the current financial crisis