The International Dimension of Financialization in Developing and Emerging Economies

This contribution discusses the international aspect of financialization in developing and emerging economies (DEEs). It argues that international financialization is more than just an increase in cross‐border capital flows but entails distinct qualitative changes in the way economic agents are integrated into international financial markets. Moreover, in line with the emerging literature on subordinated financialization, the article shows how these changes have been shaped by, and have themselves exacerbated, the subordinated position of DEEs in the international economic and financial system and hence have contributed to uneven international development. Based on an empirical discussion of recent changes in DEEs’ international financial integration, the article concludes with some concrete policy proposals on how to confront these international aspects of financialization.