Neocolonialism, neo-colonialism or neo-imperialism is the practice of

using capitalism, globalization and cultural imperialism to influence a developing country in

lieu of direct military control (imperialism) or indirect political control (hegemony). Neo-
colonialism is discussed in the works of Jean-Paul Sartre (Colonialism and Neo-colonialism,
1964)[1] and Noam Chomsky (The Washington Connection and Third World Fascism, 1979).
[2]
Some neocolonial ideas, like charter cities, are popular among economists.
Neocolonialism labels European countries' continued economic and cultural relationships
with their former colonies, African countries that had been liberated in the aftermath
of Second World War. Kwame Nkrumah, former president of Ghana (196066), coined the
term, which appeared in the 1963 preamble of the Organization of African Unity Charter, and
was the title of his 1965 book Neo-Colonialism, the Last Stage of Imperialism (1965).
[3]
Nkrumah theoretically developed and extended to the postWar 20th century the socio-
economic and political arguments presented by Lenin in the pamphlet Imperialism, the
Highest Stage of Capitalism (1917). The pamphlet frames 19th-century imperialism as the
logical extension of geopolitical power, to meet the financial investment needs of the political
economy of capitalism.[4] In Neo-Colonialism, the Last Stage of Imperialism, Kwame Nkrumah
wrote:

In place of colonialism, as the main instrument of imperialism, we have today neo-colonialism . . .

[which] like colonialism, is an attempt to export the social conflicts of the capitalist countries. . . .

The result of neo-colonialism is that foreign capital is used for the exploitation rather than for the
development of the less developed parts of the world. Investment, under neo-colonialism, increases,
rather than decreases, the gap between the rich and the poor countries of the world. The struggle against
neo-colonialism is not aimed at excluding the capital of the developed world from operating in less
developed countries. It is aimed at preventing the financial power of the developed countries being used
in such a way as to impoverish the less developed.

Dependency theory
is the theoretical description of economic neocolonialism. It proposes that the global economic system
comprises wealthy countries at the center, and poor countries at the periphery. Economic neocolonialism
extracts the human and natural resources of a poor country to flow to the economies of the wealthy
countries. It claims that the poverty of the peripheral countries is the result of how they are integrated in
the global economic system. Dependency theory derives from the Marxist analysis of economic
inequalities within the world's system of economies, thus, under-development of the periphery is a direct
result of development in the center. It includes the concept of the late 19th century semi-colony.[11] It
contrasts the Marxist perspective of the Theory of Colonial Dependency with capitalist economics. The
latter proposes that poverty is a development stage in the poor country's progress towards full integration
in the global economic system. Proponents of Dependency Theory, such as Venezuelan historian Federico
Brito Figueroa, who investigated the socioeconomic bases of neocolonial dependency, influenced the
thinking of the former President of Venezuela, Hugo Chvez.