SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Strategies & Market Trends : Asia Forum
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Rational who wrote (600)1/8/1998 8:02:00 PM
From: Jyoti sharma  Read Replies (3) of 9980
 
Sankar,

Whenever I read your post it appears I am taking a graduate course in finance. I always learn something new. Hopefully one day I will eventually learn how high finance works .

On India and China , I also feel they will emerge financially stronger relative to other their South asian brethren at least in the short term. Long term I am not so sure. Countries going to IIMF for bailout will learn from their humiliating experience and may emerge stronger eventually. Even Indonesia after Suharto may get its act together. Indonesia has a large population base and lot's of atural resources.

Your statement:
"Unfortunately, the IMF policy appears aimed at getting back the western loans to SE Asia while squeezing the asset values in these countries so hard that the same capital can get back to own those assets at bargain prices."

You are probably right again. My thinking is what's wrong with making these countries pay for their misdeeds. They will learn some humility and stop looking down at USA. At Telecom 95 in Geneva I had an opportunity to meet a large number of Govt.delegates from SE Asia , found most of them arrogant brimming with over confidence and grandiose telecom infrastructure plans. Perhps the current problems will make them think of future in more realistic terms.
.
Now the big question why debt moratorium is better than IMF terms for Indonesia. My limited understanding is that the debt moratorium will bring all import and export activity to halt forcing transactions to be done on all cash or barter basis. What happens if Indonesia defaults and the Asian banks have to write off their loans making situation in Korea and Japan a lot worse?

Regards and best wishes for the new year.

Jyoti
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News