Beginning in 1971 and lasting up until in 1995, the Thai economy recorded an average growth rate in excess of 7 percent, moderate inflation and a stable exchange rate. The strong growth was accompanied by high saving rate and a tradition of very conservative monetary and fiscal policy stance. These factors contributed to the success stories of Thailand and of South-East Asia. This extended period of growth was propelled by buoyant export performance, and a dynamic investment outlook, in the true spirit of capitalism and private sector-led development strategy. The only weak spot was the large current account deficit which was on account of a higher investment ratio, and over financed by high net capital inflows.