Asian Financial Crisis: An Analysis of U.S. Foreign Policy Interests and Options

摘要

The sharp fall in the currencies and stock markets of a number of East Asian211u001eeconomies since July 1997 has the potential to damage a range of U.S. regional 211u001eand other foreign policy interests, in addition to the expected detrimental 211u001eeffects on U.S. economic growth and the trade deficit. The principal focus of 211u001ethis report is on the foreign policy ramifications of the Asian financial crisis 211u001eand U.S. options for addressing them. Other CRS products address the economic 211u001esituation in the affected countries and impact on the U.S. economy, specific 211u001eissues concerning the IMF programs, and the proposed IMF quota increase and New 211u001eArrangements to Borrow (NAB.) This report tracks and analyzes the efforts of the 211u001emost seriously affected Asian countries to deal with their economic and financial 211u001eproblems, and their interaction with the International Monetary Fund (IMF), the 211u001eUnited States, and other major sources of financial support and policy advice. It 211u001ealso addresses the implications of the crisis for such U.S. interests as regional 211u001estability and the prevention of conflict, trade liberalization, and U.S. regional 211u001eand global leadership, and discusses the principal factors that could influence 211u001ethe duration and severity of the crisis. A final section considers options for 211u001eCongress in the context of various criticisms of the IMF's stabilization programs 211u001eand the operations of the Fund itself. The report also includes a discussion of 211u001ethe pending FY1998 supplemental appropriations request for the IMF's New 211u001eArrangements to Borrow (NAB) and quota increase, as addressed in H.R. 3114 211u001e(authorization), H.R. 3579 (Senate-passed appropriations), and H.R. 3580 (House-211u001ereported appropriations).