Following the collapse of the Communist bloc, it has virtually become conventional for developing countries to embark on the simultaneous pursuit of structural adjustment and democratization. Some countries such as Ghana started with adjustment for almost a decade before democratization. However, the joint pursuit of adjustment and democratization has engendered intense debate among academics and policy-makers. Given the “mechanisms” adopted by governments with the support of the World Bank and the IMF to impose adjustment policies on many developing countries prior to political liberalization, and given the underpinnings of democracy, some argue that the two processes are antithetical. The seemingly embedded determinism of the incompatibility thesis is challenged by the Ghanaian case study. The Ghanaian case demonstrates diat domestic sociopolitical dynamics may facilitate the pursuit of adjustment and democratization pari passu. These dynamics revolve around the general receptivity to adjustment by critical societal groups, the strength of associational groups, the absence of viable alternatives, and the continued support by the international donor community for adjustment.