1998 Russian financial crisis explained simply
1998 Russian financial crisis explained simply
7 months ago
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The 1998 Russian financial crisis was the result of a perfect storm. A global drop in oil prices slashed the nation's vital export revenue. To cover persistent budget deficits, the government issued massive amounts of short-term bonds (GKOs). When investor confidence collapsed in mid-1998, yields on these bonds soared. The final trigger was the contagion from the 1997 Asian Financial Crisis, which spurred capital to flee emerging markets like Russia. The immediate aftermath saw Russia's GDP shri
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The 1998 Russian financial crisis was the result of a perfect storm. …
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