India has a primary trade deficit, and a lot of Indian overseas borrowing is for rupee-oriented businesses.
Between June 30, 1997 and December 31, 1997, the Thai Baht fell 48 per cent, the Malaysian Ringgit fell 35 per cent, the Indonesian Rupiah fell 44 per cent, the Filipino Peso fell 34 per cent, and the Korean Won fell 48 per cent.
During the same period, in local currency terms, the Thai stock market fell 29 per cent, Malaysia fell 45 per cent, Indonesia fell 45 per cent, the Filipino market fell 34 per cent and the Korean market fell by 50 per cent.
When you factor in the currency depreciation as well, the wealth erosion in these nations was massive.
While Indonesia, Thailand and Korea saw GDP contract in 1997, Philippines and Malaysia registered a little GDP growth.
In every case, GDP growth was well below pre-crisis forecasts. They all saw capital flight.
In 1996, these five nations had net capital inflows of a combined $102 billion.
In 1997, that dropped to $0.2 billion. It was minus $ 27.6 billion in 1998.
All five nations also suffered domestic banking crises, which was not surprising as debtors defaulted, and liquidity dried up.