Structural adjustment refers to a set of economic policies implemented by countries, often in response to financial crises. These policies are typically recommended by international organizations like the International Monetary Fund (IMF) and the World Bank. The goal is to stabilize the economy, promote growth, and improve the balance of payments by making structural changes, such as reducing government spending, privatizing state-owned enterprises, and liberalizing trade. Countries undergoing structural adjustment often face social and economic challenges, including increased unemployment and reduced public services. While proponents argue that these measures can lead to long-term economic stability, critics contend that they can exacerbate poverty and inequality in the short term, affecting vulnerable populations disproportionately.