The only way to do this is...
for every country to police and manage it's own Internet. If you don't like ours, then build your own and connect it using standards.
I for one, will not be buying anything from outside North America on the Internet, not because I don't want to but since BoA will block my card number in most cases. So no financial issue then.
Really, why should I care if the Internet is "balkanized"? Russia is off my bucket list as well as China and the Middle East. You fools are doing a great job of making the UK a really low probability, might as well add the rest of Europe. Better to block the whole IP range then since there is no interest and the hackers I really worry about aren't from here. Please, feel free to do the same, if I never hear another patronizing Brit tourist complaining about the food and the "Colonials" here it will be too soon.
Face it, there is NO IMPARTIAL body that is competent enough to take over the management of the Internet. What we have now is just fine even if you think the NSA has invaded your underwear drawer. Believe me, they don't really care what kind you wear unless they can tie you to terrorism in some way. If they ARE interested in you, then do you really think that a divided internet will stop them?