The NPL ratio stood at 3.2 percent as of October 2020, way better than the double-digit NPLs we saw in the aftermath of the Asian financial crisis. Meantime, we have embarked on a reform momentum toward the “New Economy.” This is our way of helping ensure the crisis—which has given a sense of urgency for reforms—is put to good use.
The combined foreign exchange reserves of major emerging market economies stood at US $ 5 trillion in mid-2008 (Hannoun, 2010). Post crisis, the size of assets of some of the EMEs like Indonesia, Malaysia and India witnessed a precipitous decline. Fourth, the nature of expansion of liabilities of Asian central banks has been more diverse than that of assets.