Latin American countries, unable to pay their debts, turned to the IMF (International Monetary Fund), which provided money for loans and unpaid debts. In return, the IMF forced Latin America to make reforms that would favor free-market capitalism, further aggravating inequalities and poverty conditions. The IMF also forced Latin America to implement austerity plans and programs that lowered total spending in an effort to recover from the debt crisis. This reduction in government spending further deteriorated social fractures in the economy and halted industrialisation efforts. The efforts of the IMF effectively aimed to transform Latin America's economy abruptly into a capitalist free-trade type of economy, which is an economic model preferred by wealthy and fully developed countries.