Structural Adjustment

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Dictionary Says

Definition of 'Structural Adjustment'

A type of credit facility that helps developing countries become more economically self-sufficient. Structural adjustments are intended to reduce the current account debt of a debtor nation, as opposed to financing a new project. They do this by allowing the debtor nation to reschedule principal payments to a later date.
Investopedia Says

Investopedia explains 'Structural Adjustment'

Structural adjustments were first introduced by the World Bank in 1979. They usually take the form of multi year agreements, in which the borrower promises to instigate domestic economic growth through increased exports and economic diversity. Therefore, the borrowing country will be better able to make the payments later, when its economy is stronger.

Search results for

'Structural Adjustment'

  • An Introduction To The International Monetary Fund (IMF)

    http://www.investopedia.com/articles/03/030703.asp
    ... for the IMF's help, a country is usually required to embark on an IMF-monitored
    economic reform program, otherwise known as Structural Adjustment Policies (SAPs ...

  • What Is The World Bank?

    http://www.investopedia.com/articles/03/042303.asp
    ... These opposition groups also call for an end to all practices that require a country
    to implement structural adjustment programs - including privatization and ...

  • Jobless Growth: Are You Prepared?

    http://www.investopedia.com/articles/economics/10/jobless-growth-economy.asp
    ... This adjustment period is one of the reasons unemployment can increase even though
    the ... Structural change in an economy results in a large number of workers who ...

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