Money Is a Construct

Yes, so it can operate.
This is basic shit dawg, I don't know where you're lost.

Governments have money in the bank, money they own to other countries, and money that other countries owe them. This situation has the benefit of making war against most nations unprofitable.

For example, lets say England just gets a wild hair up their ass and invades France, and no one decides to stop them. All of the money France owed England is simply lost, and England can't collect on any debts other countries owed to France.

The system where every major government owes money to every other major government is in fact a good thing. It provides stability. Otherwise the news today would be a lot like a late game of Civ 6. I.e. atomic murder on a weekly basis. And that motherfucker Ghandi in the middle of it.