adjustments in every national economv. New Zealand has chosen in recent years to RM/11 A/S-18/PV. 7 48 (Dame Ann Hercus, New Zealand} confront the challenge of such adjustment head on. While once the New Zealand economy had the reputation of being one of the most protected and regulated of the developed countries, the reverse is nOif the case. The streamlining of our economy has seen the New Zealand Government move out of a range of economic activities it had traditionally dominated. Programmes of structural reform have been wide ranging. These have included tiqht monetary policies, the floating of the exchange rate, the deregulation of the financial sector, the overhaul of the taxation system, import liberalization, restructuring of the public sector, the sale of State assets and labour market reforms. Real benefits have flowed from these policies. The fiscal deficit is now close to balance, inflation has fallen from double figures to less than 5 per cent, significant tranches of public debt have been retired and there have been substantial improvements in productivity levels. Yet the social costs of such a dramatic reversal of economic policy have been high. In eviL tably, developing countries will find structural reforms an even more difficult Plrocess. New Zealand shares with many developing countries a keen appreciation of the real cost of national economic realignment. But we have no doubt that l:he Process of structural adjustment is essential. Care must be taken to minimize adverse effects of structural adjustment on disadvantaged groups, especiallY women and children. We are all conscious that the conditions l:hat now require adjustments have themselves contributed to the increased marginalization of such groups in many countries. Yet we are convinced that policies that facilitate the economic role of women in society will not onlv 
**Analysis**
The text discusses the economic policies and reforms implemented in New Zealand, highlighting the challenges and benefits of structural adjustment. It also touches on the social costs of these reforms and the need to minimize their impact on disadvantaged groups. This suggests that the category should be related to economic development and employment.

**Category**
Economic development, Employment