Global Economic Integration is the process by which national economies become increasingly interconnected through trade, investment, and financial markets. It involves the reduction of trade barriers, harmonisation of regulations, and the facilitation of cross-border economic activities. This integration enhances economic growth, promotes efficiency, and fosters international cooperation. As economies become more interdependent, they share risks and opportunities, leading to a more stable global economic environment. The process is driven by technological advancements, policy reforms, and the increasing mobility of capital and labour.

Global Economic Integration matters because it enhances economic growth and stability by fostering international cooperation and reducing trade barriers. It allows countries to specialise in production, leading to more efficient resource allocation. This interconnectedness also helps mitigate economic shocks and promotes peace by increasing mutual dependencies among nations, thus reducing the likelihood of conflicts.

Academic consensus suggests that Global Economic Integration has transformed the landscape of international relations by creating a complex web of interdependencies. Scholars of international relations argue that this integration has led to the emergence of new power dynamics, where non-traditional actors, such as multinational corporations and regional blocs, play significant roles. This process is crucial for understanding global economic policies and their implications for both developed and developing nations.