Abstract
The globalization process influences the coordination and interdependence
of international financial institutions. The analysis of different publications defines
globalization as the dominant trend of global development. Scientists examine contradictions
and consequences of globalization with respect to global development as the
process, its essence in terms of economic modernization, and different points of view on
financial institutions development.
Jones and Liuch analyze two waves of globalization, explore the evolution and define
key role of business groups and multinationals in Argentina and Chile (Jones, Liuch,
2015). Witt outlines the problems of the evolutionary approach, which means overcoming
environmental constraints via adaptation to, modification of, man-made, social constraints.
The author casts new light on consumption, production, institutions, macroeconomic
dynamics, and economic policy making (Witt, 2015). Oatley and Winecoff offer
a fresh take on research into the interaction between system structure, the self-interest
of private firms, the political institutions within which governments make policy, and
the ideas that influence beliefs about appropriate policy responses (Oatley, Winecoff,
2014). Western experts consider the feasibility of implementation of the “full restoration
of confidence and stability policies” of financial institutions. They believe that the current
phase of global economic relations development of the world financial market could
become a catalyst for economic growth in the real economy under certain conditions.
The research hypothesis is to study the interdependence of globalization process
and financial institutions development, and to explore the future trajectories of institutional
modernization in developing countries. Scientists emphasize the quality of institutions,
which provides increased confidence in financial institutions, and stimulates
economic growth. The development of the domestic financial sector should be focused
on the use of savings mechanisms for economic subjects. Strengthening of international
financial institutions will provide further financial resources accumulation, and free access
to international financial resources.
The application of the principle of network interactions between economic agents
within the firm, inter-organizational networks and transnational associations is a characteristic
feature of functioning model of economic development. One can mention the
influence of information and communication technology development in expanding and
deepening global financial and production networks.
Qualitative changes analysis show the existence of speculative and insurance operations
resulted in changes in the role of financial institutions in the service of the real
economy. Study globalization peculiarities and financial sector aim at coordinating and
harmonizing the activities of international financial institutions to overcome the consequences
of the financial crisis and world tension reduction.
The basic tendencies defining the world development trajectories stimulate improvement
of the quality of international financial institutions.