Balancing macroeconomic and social sectors in national development

Uganda like other developing countries adopted stabilization and structural adjustment (Washington Consensus) programs (SAPs) since the 1980s with a focus on export-oriented economic growth; fiscal discipline to balance the budget through inter alia retrenchment of public servants; inflation control through high interest rates that discouraged borrowing and reduced the quantity of money in circulation and economic liberalization that fostered competition and freed trade. The invisible hand of the market mechanism and individual entrepreneurship (laissez-faire) would drive economic growth while governments generally took a back seat. The human rights sectors of food security, education, healthcare, housing and work that form the foundation of nation building were starved of resources because they were considered non-productive in the short-run.

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