Structural Adjustment in Nigeria and Ghana: A Relative Efficiency Analysis

Abstract

Background of the Study:

At the inception of SAP it was clearly stated that " the objective of

Government is to evolve a realistic and sustainable market determined exchange

rate for the Naira, so as to reduce the demand for foreign exchange to available

supply and to reduce the pressure on the balance of payments" (CBN Annual

R'eport 1986, Obadan 1993~377) " --- The package of adjustment measures

adopted from 1986 placed a heavy burden on monetary policy for containing

domestic and external sector instability " (Akatu 1993 : 321 ) .

The above x-rays some of the major projections shared by governments

and people of many Sub- Saharan African countries on the prospects of the

IMFNVorld Bank initiated structural adjustment programme introduced in the

1980s. The objectives of SAP include inter aha:

I Strengthening the Balance of payments position.

2. Reduction in domestic financial imbalances, including less government

deficit financing.

3. Elimination of price distortions in various sectors of the economy.

4. Promotion of domestic savings in public and private sectors.

5. Increasing trade liberalization.

6. Revival of orderly relationships with trading partners and creditors.

7. Mobilization of additional external resources. (Tarp 1993: 2). Exchange

rate and Money supply were instruments judged important in the

reallsation of the above objectives of SAP

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APA

U., O (2021). Structural Adjustment in Nigeria and Ghana: A Relative Efficiency Analysis. Afribary. Retrieved from https://track.afribary.com/works/structural-adjustment-in-nigeria-and-ghana-a-relative-efficiency-analysis

MLA 8th

U., OGBUAKANNE "Structural Adjustment in Nigeria and Ghana: A Relative Efficiency Analysis" Afribary. Afribary, 13 May. 2021, https://track.afribary.com/works/structural-adjustment-in-nigeria-and-ghana-a-relative-efficiency-analysis. Accessed 25 Nov. 2024.

MLA7

U., OGBUAKANNE . "Structural Adjustment in Nigeria and Ghana: A Relative Efficiency Analysis". Afribary, Afribary, 13 May. 2021. Web. 25 Nov. 2024. < https://track.afribary.com/works/structural-adjustment-in-nigeria-and-ghana-a-relative-efficiency-analysis >.

Chicago

U., OGBUAKANNE . "Structural Adjustment in Nigeria and Ghana: A Relative Efficiency Analysis" Afribary (2021). Accessed November 25, 2024. https://track.afribary.com/works/structural-adjustment-in-nigeria-and-ghana-a-relative-efficiency-analysis