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By Kapil Kapoor, World Bank

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Additional info for Africa's experience with structural adjustment: proceedings of the Harare seminar, May 23-24, 1994, Parts 63-288

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226 Mongolia: Financing Education during Economic Transition. Kin Bing Wu No. 227 Cities without Land Markets: Lessons of the Failed Socialist Experiment. Alain Bertaud and Bertrand Renaud No. 228 Portfolio Investment in Developing Countries. Edited by Stijn Claessens and Sudarshan Gooptu No. 229 An Assessment of Vulnerable Groups in Mongolia: Strategies for Social Policy Planning. Caroline Harper No. 230 Raising the Productivity of Women Farmers in Sub-Saharan Africa. Katrine Saito No. 231 Agricultural Extension in Africa.

But there is no room for complacency, because improving the access of the poor to basic education and health services is an important element of any poverty reduction strategy. Major misallocations within the health and education sectors remain. For example, the study found that African countries spend about 20 percent of their education budget on universities, compared to half that in Korea, Thailand or Indonesia. African literacy and school enrollment remain low, while child mortality is high.

Lastly, eleven countries suffered a deterioration in policies. As a group, these also had the poorest growth record. Among these are Cote d'Ivoire, Cameroon, Congo, Mozambique, Sierra Leone, and Zambia. If we look at the performance of these three groups of countries sector by sector, (Transparency 5) we see that the group that improved its macro-economic policies the most fared best not only in terms of GDP per capita, but also in terms of real export growth and industrial growth. Policies, Government Intervention and Growth We should not forget, however, that these improvements in policy were insufficient to establish what would be recognized internationally as good macro-economic policies low inflation, very low deficits, and realistic exchange rates in any of the countries (Transparency 6).

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