For other uses, see Banana republic (disambiguation).
Banana republic is a pejorative term for a small, often Latin American, Caribbean or African country that is politically unstable, dependent on limited agriculture (e.g. bananas), and ruled by a small, self-elected, wealthy and corrupt clique.[1]It is most commonly used for countries in Central America such as El Salvador, Belize, Nicaragua, Honduras, Guatemala and Panama. In some cases, these nations have kept the government structures that were modeled after the colonial Spanish ruling clique, with a small, largely leisure class on the top and a large, poorly educated and poorly paid working class of peons, though it might have the (fake) trappings of modernity (such as styling itself a republic with a president etc.). The term was coined by O. Henry, an American humourist and short story writer, in reference to Honduras.citation needed Frequently the subject of mockery and humour, and usually presided over by a dictatorial military junta that exaggerates its own power and importance—"the epaulettes of a banana republic generalissimo" are proverbially of considerable size, usually portrayed in satire with a pair of mops—a banana republic also typically has large wealth inequities, poor infrastructure, poor schools, a "backward" economy, low capital spending, a reliance on foreign capital and money printing, budget deficits, and a weakening currency. Banana republics are typically also highly prone to revolutions and coups.
BackgroundThe term was originally invented as a very direct reference to a "servile dictatorship" which abetted (or directly supported in return for kickbacks) the exploitation of large-scale plantation agriculture (usually banana).[1] It was in Honduras that the United Fruit and Standard Fruit companies dominated the country's key banana export sector and support sectors such as railways. The United Fruit Company was nicknamed "The Octopus" for its willingness to involve itself in politics, sometimes violently. In 1910, Sam Zemurray, who 22 years later would take over United Fruit in a hostile bid, hired a gang of armed thugs from New Orleans to help stage a coup in Honduras in order to obtain beneficial treatment from the new government for his own banana-trading company, Cuyamel Fruit. Four decades later, the directors of United Fruit played a role in convincing the Truman and Eisenhower administrations that the government of Colonel Arbenz in Guatemala was secretly pro-Soviet, thus contributing to the CIA's decision to assist in overthrowing Arbenz's government in 1954 (see Operation PBSUCCESS).[1] Pablo Neruda would later denounce the dominance of foreign-owned banana producers in the politics of several Latin American countries in a poem titled "La United Fruit Co." Modern usageIn modern usage the term has come to be used to describe a generally unstable or "backward" dictatorial regime, especially one where elections are often fraudulent and corruption is rife. By extension, the word is occasionally applied to governments where a strong leader hands out appointments and advantages to friends and supporters, without much consideration for the law. A banana republic can also be used to describe a country where a large part of its economy and politics are controlled by foreign powers or even corporations. To some banana hobbyists located in the colder non-tropical growing areas, the term could also mean the warmest or most humid part of the province, country, growing area or locality.citation needed Some Central American countries, like Belize, that export bananas to a specific client or set of clients as part of a continual agreement or previously agreed price are not banana republics in the way the phrase is defined above. AustraliaOn 14 May 1986, the then Treasurer of Australia, Paul Keating, remarked during a radio interview with John Laws that Australia risked becoming a banana republic, referring to the size of the foreign debt relative to GDP. PakistanOn 22 January 2008, President Musharraf responded to the turmoil in Pakistan, insisting his country was stable, "I can assure you that nothing will happen in Pakistan. We are not a banana republic." United KingdomIn 2005, Judge Richard Mawrey in the United Kingdom quashed results of election of two local councils after it was proved that there was widespread fraud and vote-rigging during the election. In response to the administration's assertion that the Postal Voting system was functioning properly he said, "Anybody who has sat through the case I have just tried and listened to evidence of electoral fraud that would disgrace a banana republic would find this statement surprising."[2] In September 2007, CBI President Richard Lambert slammed the government and City authorities, blaming them for the Northern Rock crisis, claiming the run on the bank was "something that happens in a banana republic". In popular cultureIn literature
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In the song "The Ruler of the Land" from 'Keating! the Musical', the backing singers at the end of the song chant "Banana Republic Man" over and over in reference to former Australian Prime Minister Paul Keating's infamous remark on a Sydney radio station that Australia was in danger of becoming a banana republic See alsoReferencesExternal links
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