The institutional mechanism of the European Union remains an important object of research in connection with the constant evolution of integration processes and political challenges faced by the EU. In the conditions of globalization, economic crises and geopolitical instability, there is a need for a flexible and effective management system. However, despite significant achievements in the development of its institutions, the EU continues to face challenges related to the transparency of decision-making, the accountability of institutions and the proper representation of the interests of Union citizens. This is especially relevant against the background of the current debates on reforming the EU and improving its internal architecture. The article focuses on analyzing the institutional mechanism of the European Union, its evolution, and the current challenges in ensuring the effective functioning of this supranational organization. The aim of the study is to examine the functioning of the EU’s institutional mechanism in terms of its ability to ensure coherence and efficiency in decision-making processes and the implementation of common policies. The research employed general scientific methods of cognition, such as analysis, synthesis, induction, deduction, and comparison. The study’s findings show that the institutional mechanism of the European Union is a complex, multi-level system that ensures the interaction of key institutions for the Union’s effective operation. The European Council performs a strategic role by determining the overall political directions of EU development. The European Commission carries out executive responsibilities and initiates legislative proposals, while the European Parliament and the Council of the EU jointly exercise legislative functions, emphasizing the equality of these institutions in decision-making. The Court of Justice of the European Union ensures compliance with legislation, providing legal oversight over the implementation of EU treaties and decisions, thereby guaranteeing the legal consistency of all institutions’ activities. The European Central Bank plays a key role in financial control, being responsible for monetary policy, while the Court of Auditors oversees the spending of the EU budget. The EU’s institutional system also includes numerous auxiliary bodies and agencies, such as the Committee of Permanent Representatives (COREPER), which plays a critical role in policy coordination between member states. These institutions provide multi-level cooperation between national governments and EU bodies, highlighting the Union’s supranational character and its integration processes.
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