Economic Financial flows in a globalised world.
The economy is controlled by international finantial institutions
Integrated by countries, It provides:
Financial support to support the economy and social developing.
The main principles finantial institutions are:
IMF International monetary fund
WORLD BANK, IS A GLOBAL ORGANIZATION
-Give loans at low or zero interests, and provide funds
This organizarion have as goal reduce poverty.
Reduce the debt crisis in the country with less develop.
The main objetive is avoid the instability of the international monetary system
In this way the countries with more power with not take advantage with the value of its exchange rate.
The world bank and IMF was created after World WarII to protect of interests of all countries.
Fight will all the situations happen day to day
migration crisis
corruption
rebuild fiscal policies to adapt at the enviroment
Its important to understand the balance of payment and foreign direct investment to recognize business opportunities in a global context.
Balance of payments, IDENTIFY THE POSITION OF A COUNTRY
CURRENT ACCOUNT
CAPITAL ACCOUNT
FINANCIAL ACCOUNT
GDP FALL AND DEFICITS
When a country plants his offices in other countries is a form of investment FDIs.
The international investment to global trade enviroment is an important element to support the growth of the economy and create opportunities.
imbalanced between the public sector has had to engage and put huge amounts of money in the economy
EXCESSIVE PRIVATE AND PUBLIC DEBT
The multinationals can decide in which currency they will operate and where save the money
freedom to register the expenses
foreign exchange Link Title
Tax laws
each country has different laws and regulations
Affect the consumer confidence then the profits will be lower