EUROPEAN INTEGRATION AND GOVERNANCE – CHALLENGES AND PERSPECTIVES

Sa？etak European integration is largely seen as a process that has delivered stability and peace, as well as the economic prosperity of the Member States of the European Union (EU). It has helped to raise standards of living and build an internal market. But, there are more and more arguments that the EU decision-making system is not effective and the governance model is obsolete. Some are pointing out increasingly rising divergence on crucial EU policy matters. Others are arguing that the EU has been confronted with the challenge of heterogeneity, stressing the issue of immigration as the one of the most contentious policy matters currently facing the EU. Besides those controversial issues inside EU and different positions among member states there is Brexit. The paper analyses in particular the issue of EU economic governance and one of its main pillars – the European Semester. The Country Specific Recommendations, as the integral part of the economic governance model are presented in a view of the new framework envisaged to tighten budgetary coordination and keep the deficit and debt levels in accordance to the EU rules