Structural adjustment in Africa: reflections on Ghana and Zambia

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Abstract
An analysis of the experience of Ghana and Zambia in operating structural adjustment programmes (SAPs) illustrates well the debate taking place on the appropriateness of these programmes in the context of African economies. Both countries faced major economic crises in the 1980s. While supporters of SAPs see Ghana as the success story of World Bank and IMF policies, Zambia is regarded as a prime example of failure because of non‐adoption of these policies. However, this article shows why in the short run, Ghana could have been expected to perform better than Zambia anyway. It further shows that the Ghana programme is not likely to be replicable by other countries and that even in Ghana, the relative success of the programme may not be sustainable. In analysing Zambia's experience with an IMF/World Bank programme, it is argued that her economic structure made short‐term gains from adjustment impossible and led to the programme's abandonment in favour of a government programme which itself failed to address fully the nature of Zambia's economic crisis. Given the weakness of world commodity markets and the inadequacy of international capital flows to these countries, not only Zambia, but also Ghana is likely to find the future very difficult.

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