While recording the immunising effect of “been there, done that”, it might be worth remembering some aspects of this common experience. We had our own foreign-currency-denominated borrowing experiences (remember the Swiss franc loans? ), but fortunately they were, at least in macro terms, insignificant.
While we are remembering our luck, we might remind ourselves that Australia’s foreign exchange crisis (which occurred in the mid 1980s, associated with the “Banana Republic” debate) occurred separately from the prudential problems in the banking system, which are associated with the boom and bust of the asset price bubble of the late 1980s.