Vol. 3 No. 4 (2026), Articles
Vol. 3 No. 4 (2026)

FINANCIAL GLOBALIZATION AND STATE SOVEREIGNTY: AN ECONOMIC AND METHODOLOGICAL ANALYSIS OF MODERN INTERNATIONAL RELATIONS

Articles
Published 2026-10-25
Siddikov Nurali Nishonalievich
Senior Lecturer at the Department of Philosophy, Tashkent State University of Economics.
Kseniya Khon
Tashkent State University of Economics, Tashkent, Uzbekistan
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Keywords

Financial Globalization, Economic Sovereignty, Capital Mobility, Monetary Policy, Emerging Markets, International Monetary Fund.

Abstract

This paper explores the ongoing tension between financial globalization and national economic sovereignty. As capital flows across borders with fewer restrictions, national governments find it harder to maintain independent monetary and fiscal policies. Using basic concepts from political economy and economic methodology, this study looks at how global capital markets limit state autonomy. The paper analyzes issues such as capital mobility, balance of payments instability in emerging markets, debt dependencies, and the impact of the global financial cycle. It also reviews how states try to defend their policy autonomy through capital controls, reserve accumulation, and macroprudential measures. The main finding is that while full economic isolation is impossible today, states can still use strategic policy tools to protect their domestic economic stability.

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