The percentage of non-performing loans (i.e. loans that ended in default) is one indicator of riskiness.
As seen in Table 1, this percentage was substantially higher in 1998 than it had been in 1997 for all four countries.
In the Philippines the increase is only 25%.
In the other three countries it is much higher, with Malaysia suffering from a 100% jump upwards.
Taking note of this, investors respond by requiring a (higher) risk premium for holding bonds,
stocks and other assets in these countries.