Enlargement, E.U. budget, and European regional policy

Abstract

The objective of this article is to shed light on the main budgetary elements and provisions related to the last enlargement of the European Union, which is the largest in its history. In their methodological assessment and analysis the authors identify the main financial factors in terms of expenditures and contributions to the E.U. budget, while they make estimations for financing needs of main E.U. policies in the light of the next financial framework. In their conclusions, the authors are of the opinion that the budgetary pressures and also the need to sufficiently finance the Community Policies consist the main factors which are going to determine the functions of the E.U. financial system at the next planning period after the enlargement. It is a common view of the authors that enlargement poses a severe challenge for E.U. structural and cohesion policies, the implications of which should be con-sidered in designing the actions of the new financial framework from 2007 onwards.