By J. Clapp
With the adoption of an international Bank-sponsored structural adjustment programme within the mid-1980s, Guinea underwent a dramatic switch in its financial and agricultural guidelines. The country's event over the last decade illustrates probably the most urgent difficulties encountered through African nations pursuing monetary reform. This booklet analyses those problems by means of reading the adjustment adventure in Guinea because it affected the country's total political economic system and the rural region particularly. It additionally areas this situation in the broader context of African adjustment.
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Extra resources for Adjustment and Agriculture in Africa: Farmers, the State, and the World Bank in Guinea
The goal of the initiative was to improve the operations of existing institutions for policy analysis and economic management, and to create new ones where this was not feasible. 67 In other words, though the ACBI intended to move the process of policy making into the African context, it also aimed to de-politicise the fundamentally political exercise of economic policy-making. The Rural Context The third broad area in which the Bank began to tinker with its economic and agricultural strategy focused on action in the rural context itself.
42 Though its attention to this problem increased, by the late 1980s the Bank returned to its original stance that the external environment had little to do with economic performance, and that policy reform was the most important factor. In addition to this brief focus on the hostile external environment, it became increasingly apparent outside as well as inside of the Bank that the level of external assistance to Africa was inadequate. 43 The Bank began to stress the need for increased donor support, particularly after it had projected that debt service ratios were set to rise in the 1980s.
4 The main conduit for gaining cash to pay the tax was to take part in the rubber trade. 5 Rubber trees at that time grew wild in much of Guinea. 6 World demand for rubber from the late 1800s to 1911 was strong, and indeed during most of that period the poll tax was payable in rubber itself. Many rural dwellers resisted the tax, adding sticks and stones to increase the weight of the bundles, while others left the country altogether. 7 By 1911 the world rubber price plummeted due to growth in the supply of cheap Malaysian rubber.