The purpose of the research is to study the factors influencing this system, to analyze the theory and actual data related to the application of control measures on cross-border capital flows, to systematize the possible results of this tool, to create a balance and to properly manage capital flows, along with the balance of payments, which is a statistical system reflecting economic transactions, as well as determining its positive and negative consequences.

The methodology of the research – in order to investigate the multi-directional effects of capital flows in the research, the methods of analysis, analysis, synthesis and secondary data analysis were used.

The practical importance of the research - the results of this research can be used for scientists, politicians, analysts, financial institutions, interested parties in the economy sector to conduct macroeconomic analysis, formulate related policies and create a model related to capital flow management.

The results of the research – this research significantly emphasizes the importance of macroeconomic analysis to monitor the economic health of a country, develop sound policies and practices and sustain appropriate growth, strategies to mitigate the potential downsides of capital flow volatility.

The originality and scientific novelty of the research – the research highlights the importance of cross-border capital movement in enhancing access to finance, promoting innovation, the benefits of capital flows to the country, and the challenges it can create, contributing to the overall well-being of the economy.

Keywords: macroeconomics, investment (FDI and global portfolio), stability, diversi­fication, financial openness.

https://doi.org/10.59610/bbu1.2024.1.3