Home » Finance » Investing » The South Koreans gave up their gold to help their country. The gold-collecting campaign was a national sacrificial movement in early 1998 to repay its debt to the International Monetary Fund. The campaign, involving 3.51 million people nationwide, collected 227 tons of gold worth $2.13 billion.

The South Koreans gave up their gold to help their country. The gold-collecting campaign was a national sacrificial movement in early 1998 to repay its debt to the International Monetary Fund. The campaign, involving 3.51 million people nationwide, collected 227 tons of gold worth $2.13 billion.

Gold-collecting campaign

In South Korea, the gold-collecting campaign was a national sacrificial movement in early 1998 to repay its debt to the International Monetary Fund. At the time, South Korea had about $304 billion in foreign-exchange debt. The campaign, involving about 3.51 million people nationwide, collected about 227 tons of gold worth about $2.13 billion.

Background

On July 2, 1997, Thailand changed its 13-year-old fixed exchange-rate system. As the exchange rate changed, the price of Thai baht in the foreign-exchange market fell. This was a cause of the East Asian financial crisis. On May 21 of that year, the IMF was asked to provide liquidity-adjustment funds. At the time, the real cause of the foreign-exchange-liquidity problem was controvers… Continue Reading (6 minute read)

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