Many policymakers and analysts insisted that the economic fundamentals of some of the worst-hit Asian countries were sound and bolstered by strong monetary and fiscal policies. Interestingly, some of these countries had experienced high growth and strong foreign capital inflows up to the crisis. However, upon deeper scrutiny, it became apparent that the authorities responsible for macroeconomic policy had neglected their regulatory role.
Consumption as measured by the consumption activity index is still below the level in 2013; that is, before the spike in demand due to the frontloading of purchases prior to the consumption tax hike.