This article sets out several of the measures which could and ought to be undertaken in the education sectors of LDCs, given that the imposition of structural adjustment programmes in many of these countries is well underway. The article is concerned with the sustainability of large education budgets, particularly at the post‐primary levels, and with policy options which will minimise the welfare effects of financial restraint across the education sector as a whole. Each measure suggested is considered in detail, alongside the rationale for its proposal and implementation.