A banana republic is a politically unstable country whose economy depends on the export of one product in limited supply, such as agricultural products like bananas or minerals. A banana republic has social classes that are divided by wealth. These include a large, poor working class and a small ruling class (elite) made up of the businessmen, politicians, and the military. The ruling class controls and exploits the country's economy.
Characteristics of a Banana Republic
The way the phrase banana republic is used has evolved since it was introduced more than a century ago. It is no longer limited to countries in Central America or the tropics. Key characteristics of a banana republic in the modern world include: Widespread government corruption Tyrannical government Unstable government Civil unrest Coup attempts/insurgency Economic dependency on exporting a limited natural resource (which may or may not be bananas) Infrastructure owned/supported by out-of-country interests Overall economic dependency on foreign investment or business entities Widespread poverty Significant stratification of social classes Enormous gap between the haves and have nots Lack of a middle class
Examples of Banana Republics
In the modern world, whether or not a country could accurately be described as a banana republic government is a matter of opinion. A number of countries have been described as banana republics at some point.
Bangladesh
United States
Botswana
Costa Rica
Colombia
Cuba
Guatemala
Honduras
Nicaragua
Nigeria
Panama
Zambia
A country that at some point might exhibit all of the characteristics of a banana republic could change, which would mean that the term would no longer apply. The fact that someone refers to a country as a banana republic does not mean that the country really is one. The phrase is a derogatory description rather than an actual type of government.