Corresponding to the change in the structure of private capital inflows, the structure of Thailand’s external debt has altered substantially. Prior to the emergence of the crisis, commercial bank’s debt including BIBF’s loan rose from US$4.5 billion at end-1991 to US$41.9 billion at end-1996 while non=bank private debt increased from US$20 billion to US$31.8 billion. The increase in external debt accompanied by an increase in short-term debt following financial liberalization and the establishment of BIBF in the early 1990s