Definition of Structural adjustment:
Structural adjustments are commonly thought of as free market reforms, and they are made conditional on the assumption that they will make the nation in question more competitive and encourage economic growth. The International Monetary Fund (IMF) and World Bank, two Bretton Woods institutions that date from the 1940s, have long imposed conditions on their loans. However, the 1980s saw a concerted push to turn lending to crisis-stricken poor countries into springboards for reform.
A structural adjustment is set of economic reforms that a country must adhere to in order to secure a loan from the International Monetary Fund and/or the World Bank. Structural adjustments are often a set of economic policies, including reducing government spending, opening to free trade and so on.
Change effected in the basic framework of an economy by the impact of policy reforms, such as liberalization of the economy by reducing protectionism and state intervention.
How to use Structural adjustment in a sentence?
- The companys new president and CEO decided to make a structural adjustment when he came on board because he noticed there were a lot of redundancies in several departments of the company.
- The policy reform caused them to make an unplanned structural adjustment , which the workers were not used to at all.
- You should be able to plan for a sound structural adjustment when you want to find a new way to do things.
Meaning of Structural adjustment & Structural adjustment Definition