The Asian Financial Crisis 1997. I’m 1997 there wasn’t overheating the economy and the rapidly growing Southeast Asian countries formidable the bubble burst on July 1997. It was known as the Asian financial crisis% uh 1997 this crisis. Began in Thailand after the tide bad which is Thailand’s currency collapsed 10 I had a huge foreign debt and was bankrupt there were fears other financial contagion spreading worldwide it did the crisis spread to the rest of the region and other countries up the Southeast Asia said the stock markets fell.