Structural Adjustment Programmes

Structural Adjustment Programmes (SAPs) are economic policies imposed by international financial institutions, like the IMF or World Bank, on countries facing financial crises. Their goal is to stabilize the economy, promote growth, and improve fiscal responsibility. To achieve this, countries often have to reduce government spending, privatize state-owned enterprises, deregulate markets, and open up to international trade. While these measures aim to foster long-term growth, they can also lead to social impacts such as reduced public services and increased inequality, making the adjustments complex and sometimes controversial.