Article Sidebar

Download
Download Article

Main Article Content

Abstract

This study aims to analyze the dynamic relationship between financial geopolitics, investment dynamics, tax policy, and economic stability through a systematic literature review approach. The research employs a qualitative method using thematic analysis of academic literature published between 2022 and 2026, covering international academic databases such as Scopus, Web of Science, and Google Scholar. The findings identify four main themes: (1) tax policy as an instrument for stimulating investment, (2) geopolitical risk as a barrier to capital mobility, (3) macroeconomic stability as a foundation for sustainable growth, and (4) institutional quality as a moderating factor in the policy–investment relationship. This study contributes to the theoretical understanding of the geopolitics–finance nexus and provides practical implications for policymakers in designing fiscal strategies that are adaptive to global uncertainty.

Keywords

Geopolitical Finance Tax Policy Foreign Direct Investment

Article Details

Creative Commons License

This work is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.

How to Cite
Idris , H. (2026). Geopolitical Finance and Investment Dynamics: A Systematic Literature Review on Tax Policy and Economic Stability. Golden Ratio of Taxation Studies, 6(1), 121–131. https://doi.org/10.52970/grts.v6i1.279
Download Citation
Endnote/Zotero/Mendeley (RIS)
BibTeX

References

  1. Admaja, A. A., Marissa, F., & Bashir, A. (2025). The effect of budget deficit, foreign direct investment, and human development index on ASEAN-5 economic growth. Ekonomi dan Bisnis. https://doi.org/10.35590/jeb.v12i1.10871
  2. Ali, A., Asim, M., & Ahmad, K. (2025). Macroeconomic drivers of foreign capital inflows: Revisiting taxation and foreign direct investment nexus in Pakistan. Indus Journal of Social Sciences. https://doi.org/10.59075/ijss.v3i3.1756
  3. Ama, A., & Yanney, S. (2025). Cross-border financial regulation and its influence on multinational business operations, tax structures, and investment flows. World Journal of Advanced Research and Reviews. https://doi.org/10.30574/wjarr.2025.26.3.2225
  4. Azizah, I. U., Aswad, M., & Subagiyo, R. (2025). The effect of political risk and economic stability on foreign direct investment flows in ASEAN-6. Ecoplan. https://doi.org/10.20527/ecoplan.v8i2.1244
  5. Byaro, M., Rwezaula, A., Bulili, J., & Dimoso, R. (2025). Assessing monetary and fiscal policy measures to promote the sustainability of domestic and foreign direct investment in Sub-Saharan Africa. World Affairs. https://doi.org/10.1002/waf2.70027
  6. Çelo, R., & Bega, R. (2025). The impact of fiscal policy on foreign direct investments in Albania. Proceedings of the International Conference on Research in Business, Management and Economics. https://doi.org/10.33422/icrbme.v2i1.820
  7. Górski, T., & Tumilovich, I. (2025). State policy toward small and medium-sized enterprises as a tool for strengthening Poland’s economic stability. Book of Abstracts. https://doi.org/10.36690/iceaf-2025-42-43
  8. Holl, P., & Lork, C. (2025). The role of tax incentives and wage dynamics in shaping foreign direct investment: A Cambodian perspective (2009–2023). Journal of Mathematics Instruction, Social Research and Opinion. https://doi.org/10.58421/misro.v4i3.502
  9. Horo, A. (2025). Global economic trends: Analysis of current global economic trends and their impact on finance. International Journal of Research in Commerce and Management Studies. https://doi.org/10.38193/ijrcms.2025.7415
  10. Hurochkina, V., & Kęsy, M. (2025). Sanctions tax policy of countries in the management of system of strengthening international economic security in Central Europe. Środkowoeuropejskie Studia Polityczne. https://doi.org/10.14746/ssp.2025.2.19
  11. Hussain, M., & Zaman, S. U. (2024). The role of foreign direct investment in sustaining economic stability and growth in Pakistan. Physical Education, Health and Social Sciences. https://doi.org/10.63163/jpehss.v2i4.288
  12. Isayev, J., Eshqulova, N., Fayzullaev, M., Durdiev, N., Sulaymonov, F., & Yusufov, S. (2025). An interplay between the tax policy and foreign direct investment to promote the economic stability of developing countries. Economic Annals-XXI. https://doi.org/10.21003/ea.v214-01
  13. Judijanto, L., Rosalia, O., Swandari, S., & Firayani, F. (2025). Evaluation of the effectiveness of income tax policy in the era of globalization. Nomico. https://doi.org/10.62872/jz6s6d60
  14. Krupka, M., Kulchytskyi, M., Demchyshak, N., Nykytiuk, M., & Kovalenko, O. (2025). Tax policy of Ukraine: Problems and challenges in the conditions of martial law. Economics. Finances. Law. https://doi.org/10.37634/efp.2025.3.1
  15. Kryvonos, D. A. (2025). The regulatory effect of tax policy on the economy. Business Inform. https://doi.org/10.32983/2222-4459-2025-7-465-473
  16. Moskalenko, O., Yeleussinova, A., Panjieva, N., Tkachenko, A., & Yakovlev, O. (2025). Role of tax and legal incentives in attracting foreign capital in the context of international investment policy. International Journal of Accounting and Economics Studies. https://doi.org/10.14419/jbzc6c96
  17. Nguyen, T., Nguyen, T., & Nguyen, C. C. (2025). Economic policy uncertainty and foreign direct investment: The role of social connectedness in Vietnam. Economic Journal of Emerging Markets. https://doi.org/10.20885/ejem.vol17.iss1.art1
  18. Novikov, A. (2025). Geopolitical risks and the transformation of globalization in conditions of uncertainty using the example of developed countries in the Asia-Pacific region. Мировая Политика. https://doi.org/10.25136/2409-8671.2025.4.77444
  19. Nurwahid, A. (2025). Geopolitics of finance: The impact of global economic fragmentation on multinational corporate risk management strategies. Journal of Management Economic and Financial. https://doi.org/10.46799/jmef.v3i2.167
  20. Ogujiofor, M. N., Ozuomba, C. N., & Temitope, M. T. M. (2025). The impact of corporate tax policies on foreign direct investment (FDI). International Journal of Advances in Engineering and Management. https://doi.org/10.35629/5252-0704563569
  21. Olugbenga, A. F. (2026). Foreign direct investment and economic growth in Nigeria: An empirical analysis of long-run dynamics and policy implications. International Journal of Research and Innovation in Social Science. https://doi.org/10.47772/ijriss.2026.100300611
  22. Othman, B. B., Hamrita, M. E., & Salem, R. B. B. (2025). U.S. economic policy uncertainty, oil volatility, and climate transition after Trump’s withdrawal from the Paris Agreement. Journal of Cultural Analysis and Social Change. https://doi.org/10.64753/jcasc.v10i2.1921
  23. Palamarchuk, T. (2024). Globalization’s impact on Ukraine: The economic landscape amidst geopolitical challenges. Bulletin of Taras Shevchenko National University of Kyiv Public Administration. https://doi.org/10.17721/2616-9193.2024/19-9/22
  24. Poliakov, M. (2024). The investment component of tax policy under wartime. Business Inform. https://doi.org/10.32983/2222-4459-2024-7-402-413
  25. Quadri, S. S. A., Nawaz, M., Qadir, M., & Goba, K. M. (2026). Finance in the age of strategic rivalry: Capital flows, power politics, and the reconfiguration of global economic order. Journal of Social Sciences Advancement. https://doi.org/10.52223/jssa26-070108
  26. Razali, T. R. A. T., Masron, T. A., Kamarudin, M. H., Beleya, P., & Chelliah, M. (2025). Analysis of the impact of indirect taxation on foreign direct investment inflows in Malaysia: Implications for sustainable economic growth. Journal of Posthumanism. https://doi.org/10.63332/joph.v5i5.1822
  27. Sakar, E., Sasmaz, M. U., & Ozen, A. (2025). The nexus between tax revenue, economic policy uncertainty, and economic growth: Evidence from G7 economies. Sustainability. https://doi.org/10.3390/su17156780
  28. Sidelnuk, O., & Oliinyk, O. (2025). The impact of customs and tax policy on the state’s financial security. Oblik i Finansi. https://doi.org/10.33146/2518-1181-2025-3(109)-149-157
  29. Sigdel, S. (2025). Government fiscal policy on economic growth and stability: An ECM approach. International Journal for Multidisciplinary Research. https://doi.org/10.36948/ijfmr.2025.v07i04.52602
  30. Utami, S. (2026). Dynamics of inflation and economic stability in facing global uncertainty. Archipel. https://doi.org/10.65739/archipel.v1i7.43
  31. Utouh, H. M. L., & Kitole, F. A. (2025). The impact of fiscal and monetary policy on economic growth and structural transformation in Tanzania. Cogent Economics & Finance. https://doi.org/10.1080/23322039.2025.2499013
  32. Wahyu, F., & Putri, S. (2025). Dynamics of base erosion and profit shifting (BEPS) tax planning strategy in the global sustainable development framework. Jurnal Perpajakan dan Keuangan Publik. https://doi.org/10.15575/jpkp.v4i1.44799
  33. Zwane, T., & Ogunsola, A. (2026). Geopolitical risk, renewable energy transition, and policy response: Evidence from the BRICS economies. International Journal of Renewable Energy Development. https://doi.org/10.61435/ijred.2026.61693