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Bangkok Post, Thailand, Guest Column.
Byline: Dr Homi Kharas
Jul. 5--Confidence has returned to East Asia, and the fifth anniversary of the dramatic economic collapse of July 1997 sees a region better off now than it was before the crash. The quick recovery was perhaps to be expected from a region that had grown so fast, for so long, over the previous generation.
Today, poverty numbers are lower, bank balance sheets are stronger, exports within and beyond the region are higher, and exposure to foreign currency risk is lower than before July 1997. In addition, China is continuing to grow strongly, Japan is showing tentative signs of recovery, and world trade is gaining strength after the slump in 2001.
So why shouldn't East Asia be confident, even relaxed? True, the region is now much less vulnerable to the sort of shock that caused ...
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