International Politics and business are correlated and interdependent. One has a straight influence on the other. They are related with each other in many ways such as exports imports, trade transactions, tariffs, protectionism, non-type barriers, production, the way multinational corporations operate across state borders and finance. In financial transactions, the way money and capital can cross state borders and also labour and migration. Foreign policies, globalization, liberalization and various other variables determine the position of a country in International political economy. A country with strong governance and healthy international relations with other nation states will have a stronger stand at the business front. And any country who has a well built international political economy, will always lead at the international politics. There are also various international institutions like the General Agreements on Tariffs and Trade (GATT) or the World Trade Organization (WTO) who influence the way international political economy functions and the criteria on which international economic interaction processes operate. There are other institutions like the International Monetary Fund(IMF) and the World Bank(WB), bilateral investment treaties or bilateral trade treaties and so on. Therefore International politics play a significant role in the development of domestic and international business of a country.