Future Uganda government should avoid another costly experiment

Stabilization and structural adjustment programs began in 1980 largely in Latin America and Africa. Uganda and Ghana adopted them in 1981 and 1982 respectively. The ‘conditionalities’ were so stiff that governments in the two African countries expressed dissatisfaction because the human costs were very high.

In 1984 Ernest Stern, World Bank Vice-President wrote a candid report stressing that structural adjustment had failed Africa. “We … have failed in Africa, along with everyone else… we have not always designed our projects to fit the … conditions in Africa”(New African February 1993)”. Julian Samboma added that “But with their usual arrogance, the IMF/World Bank continued to force these self-same policies down Africa’s throat” (New African February 1993). In 1986 the government of Ghana officially declared that structural adjustment had failed in that country.

When NRM captured power in 1986 there was enough evidence that the shock therapy (comprehensive, simultaneous and rapid implementation) version of structural adjustment was not suitable. In fact the government hesitated to adopt any version (rapid or gradual) of structural adjustment. But when it finally did in 1987, the government went for the shock therapy form. It ignored the advice of those Ugandans at home and abroad who favored a gradual approach: some of them lost their jobs while others were sidelined.