1191 Words5 Pages
Topic #7 : Structural Adjustment ------------------------------------------------- Engy Naguib ------------------------------------------------- ‘Despite having their roots in a mixture of internal and external factors, the most appropriate response to current problems of economic performance in countries of the Middle East is to pursue stabilization and structural adjustment policies, supported by IMF/World Bank lending packages.’ Critically appraise this statement with reference to the recent experience of one MENA country of your choice. Many MENA countries have been facing significant economic hardships. This has forced the international community for economic intervention - serious interventions - to protect their interests in…show more content…
Egypt had limited crossroads to choose from ever since its been announced a Republic 1952, the most recent was the ERSAP program that was considered by then the chemotherapy for treating the economic diseases (Giugale, 1993). The metaphor did not recognize the recent scientific fact that the painful therapy has to be accompanied by drastic dietary, psychological, and attitude changes for the treatment to be effectual. In chemotherapy, a patient had to limit consumption of carbohydrates and sugar which were proved to hinder effectiveness of the treatment, and exacerbates its side effects. These facts were known by experiments in the R&D in labs of major pharmaceutical companies, in addition to introduction of some alternative medicine like Homeopathy or Riki. But major IFIs did not do their job in investing some R&D in their offices to know why they failed in the 1980s, before imposing the same patterns on new countries in the 1990s. Resistance to reform was due to lack of political will, or political change to suit the introduced reforms (Parfitt, p. 8). Other cases resistance to change was to prevent any social unrest (Salevurakis & Abdel-Halim, 2008), some signs of conflicting interests within governments and with the international partners (Adams & Page, 2003) that caused counter actions against efficient implementation, and finally clear signs of corruption that were ignored in order to proceed with the program, despite the
Open Document