The Impact of the Asian Financial Crisis on the Subrogated Payments of Credit Guarantee Funds and Overdue Loans of SME’s

• Main Authors: Kuel-Chang Li, 黎貴昌
• Other Authors: Dr. Shou-Shiang, Liu
• Format: Others
• Language: zh-TW
• Published: 2013
• Online Access: http://ndltd.ncl.edu.tw/handle/46994225879951094193

碩士 === 銘傳大學 === 風險管理與保險學系碩士在職專班 === 101 === The financial crisis, derived from economic bubble and hot money inflows of Southeast Asian countries, has swept through Asia since June 1997. Indonesia, South Korea, and Thailand suffered the worst impacts among Asian countries, while Taiwan also suffered considerable damages. However, the global economy is falling apart. Taiwan’s domestic market itself is very limited and therefore the economy is highly dependent on import and export. The Asian countries suffering the worst of the financial crisis include Taiwan’s major import and export trading partners. This has resulted in a decline in overall demand and a sharp decrease in export orders. Subsequently, the level of impact on the domestic industry has been significant and wide-reaching. In particular, export-oriented SMEs are facing some of the most serious operational difficulties. The financial turmoil has had a major impact on domestic economic growth, as seen in domestic economic indicators, which show a severe recession and a sharp rise in the unemployment rate. The recent European debt crisis and the Japanese government’spolicies on currency devaluation has caused other countries to compete in domestic currency devaluations in order to stimulate economic growth. This has seemed to trigger another wave of financial instability. This study investigates the impacts of the causes of the Asian financial crisis on Taiwan’s SMEs, and the default situation and subrogation situation of credit guarantee funds before and after major financial events of the SMEs. Through this study, specific recommendations are proposed to identify the strategies for operational improvements of domestic SMEs and credit guarantee funds with the intention of creating tri-win situations among domestic SMEs, credit guarantee funds, and financial institutions.