The Banking Executive Magazine - August Issue 2022

Where is The EU Standing Today? INTRODUCTION In this article, we present a frame- work for the valuation of the Euro- pean Union (EU) with the aim to identify where the EU is standing today. The article starts with a brief overview of EU history, structure and institutions, and how the EU work. Following this overview, the pro- posed EU valuation framework is de- scribed. The valuation framework is four dimensional. The dimensions are: 1) EU economy and growth sec- tors; 2) EU technology capability; 3) EU social model; and 4) EU in the world. Each dimension consists of several components/key areas that are overviewed as well. The article concludes with future work on SWOT (Strength, Weaknesses, Op- portunities and Threats) analysis to assess each framework dimension and finally evaluate where the EU is standing today. EU HISTORICAL EVOLUTION Reference to the European Commis- sion website, the European Union (EU) is a unique economic and polit- ical union between 27 European countries. The predecessor of the EU was created in the aftermath of the Second World War to foster eco- nomic cooperation. The European Economic Community was created in 1958 with the initial aim of in- creasing economic cooperation be- tween six countries: Belgium, Germany, France, Italy, Luxembourg and the Netherlands. Since then, 22 more countries joined (and the United Kingdom left the EU in 2020) and a huge single market (also known as the ‘internal’ market) has been created and continues to develop towards its full potential. What began as a purely economic union has evolved into an organisa- tion spanning many different policy areas, from climate, environment and health to external relations and security, justice and migration. The EU has delivered more than half a century of peace, stability and prosperity, helped raise living stan- dards and launched a single Euro- pean currency: the euro. Thanks to the abolition of border controls between EU countries, peo- ple can travel freely throughout most of the continent. And it has become much easier to live and work in an- other country in Europe. All EU citi- zens have the right and freedom to choose in which EU country they want to study, work or retire. Every EU country must treat EU citizens in exactly the same way as its own citi- zens when it comes to matters of em- the BANKING EXECUTIVE 8 ISSUE 164 AUGUST 2022 WHERE IS THE EU STANDING TODAY? A FRAMEWORK FOR EU VALUATION BY DR SOHA MAAD