The Argentine Economic Crisis (2001)

The Argentine Economic Crisis of 2001 was a severe financial collapse in Argentina marked by widespread poverty and unemployment. The crisis stemmed from years of poor economic policies, high national debt, and a fixed exchange rate tying the peso to the U.S. dollar. As confidence waned, banks froze deposits, people protested, and the government defaulted on its debts. This led to a deep recession, social unrest, and a change in government. The crisis highlighted the vulnerabilities of Argentina's economy and ultimately resulted in significant reforms to stabilize and rebuild the country’s financial system.