SAP Issues and Conditionalities-A Global Review

This paper attempts to show that the structural adjustment programme formulated by the Bretton Woods organisations that are controlled by the seven richest countries in the world operates exclusively in the less developed countries. How far and to what extent has the adjustment package been introduced to rescue the international banking system facing bankruptcy in the aftermath of the second oil crisis and the debt crisis and/or to find markets for the MNCs of US origin in view of the massive balance of trade deficit that country is incurring every year? The author examines IMF and World Bank conditionalities and reviews the experience of countries which have implemented structural adjustment programmes.