Author Description

Reviews the World Bank's experience in industrial restructuring in 46 countries during the past 14 years. The study finds that for most completed public enterprise restructuring operations, sustainability of benefits was a large problem, mainly because of fragile sector reforms and inadequate governance and management. Those completed for the private sector experienced poor outcomes from inadequate attention to country economic conditions and policy distortions. To overcome such problems, the study recommends that future restructuring operations be designed and implemented to have an impact at the firm level.