On EU
The European Union (EU), created by the Treaty of Rome in 1958, is a unique system where countries agree to share some of their power in order to work more closely together, especially in politics and the economy. As of May 19, 2025, it includes 27 countries with a combined population of over 448 million people, making it the world’s second-largest economy.
Geopolitics of the European Union
Power politics in the EU is about how member countries and EU institutions negotiate and make decisions that reflect their interests. The EU has a complicated decision-making system that involves bodies like the European Commission, the Council, and the Parliament. Depending on the issue, decisions are made either by a majority vote or with everyone’s agreement. This sometimes gives bigger countries like Germany and France more say, which can leave smaller countries feeling sidelined. A clear example is the 2015 refugee crisis, where Germany supported sharing refugees among all EU members, while some smaller countries like Hungary strongly disagreed. This showed how power dynamics within the EU can affect outcomes.
When the EU added many new countries from Central and Eastern Europe in 2004 and 2007, it helped boost their economies. But these countries also had to accept a long list of EU laws and rules, which may have reduced their ability to make independent decisions at home.
Impact on Political Identities
The EU influences how people in small countries see themselves politically in different ways. On the positive side, being part of the EU can help create a sense of shared European identity. For example, in Malta, student exchange programmes like Erasmus+ have given young people chances to experience other cultures, helping them feel more connected to Europe. A 2023 survey showed that 78% of people in Malta felt good about being in the EU, showing how this sense of belonging has grown.
But there can also be conflicts between EU rules and a country’s own traditions or values. Countries like Hungary and Poland have had clashes with the EU over things like court independence and immigration. Hungary, for instance, refused to accept EU-assigned refugee quotas during the 2015 crisis, saying it went against their national rights. Even in Malta, which is mostly Catholic, modern EU policies on social issues or technology can sometimes go against traditional beliefs. Also, Malta’s constitution says it should stay neutral, which doesn’t fully align with the EU’s defence and security plans.
These cases show that while being in the EU can offer many benefits, it can also create challenges for small countries trying to keep their own identity and values, especially when they have less power in EU decision-making.
Impact on Economic Sovereignty
Being part of the EU brings big economic benefits for smaller and weaker countries, but it also means giving up some control over their own decisions. A 2024 study from Bocconi University found that the ten countries that joined the EU in 2004—including smaller ones like Estonia and Malta—almost doubled their average income per person, from about $18,000 in 2004 to nearly $35,000 by 2019. About half of that growth came directly from being in the EU. In Malta’s case, its economy is expected to grow by 5.0% in 2024—mainly thanks to tourism and local spending—which is better than the EU average.
Still, being part of the EU means following its economic rules, which can limit what a country can do on its own. For example, Malta joined the Eurozone in 2008, so it uses the euro and has to follow decisions made by the European Central Bank. This means Malta can’t control its own interest rates or money supply, which could be a problem during tough economic times. A more extreme example is Greece, which during the Eurozone crisis had to accept strict spending cuts in exchange for financial help from the EU and IMF. These cuts were so harsh that a 2014 study said Greece didn’t really benefit overall—unlike most other EU countries.
Smaller countries also struggle to have a say in EU-wide economic decisions. For instance, the Common Agricultural Policy often benefits bigger countries with more farming, and trade deals are made for the whole EU, not individually—so small states have to go along with them even if they disagree. All of this highlights the trade-off: small nations may gain more money and stability from joining the EU, but they lose some of their ability to make independent economic choices.
A Deeper Look
The EU’s effect on smaller countries is a mix of positives and drawbacks. On the political side, sharing power with other EU countries can improve overall safety. For example, after 2014, the EU launched a military mobility plan to help protect countries in Eastern Europe from threats like Russia. But at the same time, this shared approach can weaken national identity, especially in countries with strong cultural roots.
Economically, joining the EU helps countries grow faster, but it also comes with rules—particularly for those using the euro. These countries have to follow strict spending and budget guidelines set by the EU, which can limit their freedom to handle their own finances.
A 2022 report by the European Council on Foreign Relations (ECFR), called the European Sovereignty Index, showed that small countries like Malta and Ireland have less control over their own defence and security, meaning they depend more on EU support. This dependency is a double-edged sword: it provides safety through cooperation, but it also means they have less ability to act independently.
Lessons for Countries like Bangladesh
For Bangladesh, a developing country in South Asia, the EU’s experience with regional cooperation provides useful lessons. Bangladesh is part of groups like BIMSTEC, which aim to improve economic ties, but they aren’t as advanced or effective as the EU. Here are some important takeaways:
Boosting Economic Ties: The EU’s single market has helped increase trade and investment among its members. Similarly, if countries in South Asia—through agreements like SAFTA—build stronger economic connections, Bangladesh could benefit, especially by expanding its textile exports.
Giving Up Some Control: The EU shows that closer cooperation often means giving up some control over national decisions. Bangladesh needs to carefully consider whether the benefits, like better access to big markets, are worth the possible loss of independence in making its own policies—especially since India is the dominant country in the region.
Having a Voice: In the EU, small countries often form alliances to make their voices heard. Bangladesh could push for fairer decision-making within BIMSTEC, so its interests—such as in trade rules or environmental protection—aren’t overlooked.
Protecting National Identity: The EU has shown that working closely together can raise questions about national identity. Bangladesh should think about how regional cooperation might affect its own cultural and religious identity, which is distinct in South Asia.
Building Strong Institutions: The EU works well partly because it has strong institutions like the European Commission to manage and coordinate efforts. If BIMSTEC could build similar institutions, it might be better at solving shared problems like water disputes or climate change.
Regional Development Bank: The EU’s development bank helps fund big infrastructure projects. South Asia could benefit from a similar bank that offers affordable loans for things like transport links and energy networks—key areas for Bangladesh’s growth.
South Asia has its own challenges, such as long-standing rivalries and political tensions. The EU’s way of handling differences and supporting weaker regions offers helpful ideas. Bangladesh can use these lessons to shape a smarter, more balanced approach to working with its neighbours.
Conclusion
The EU’s political setup brings both advantages and challenges for smaller and less powerful countries. It helps their economies grow—like Malta’s recent success and the strong economic gains of countries that joined in 2004—but it also means giving up some control, especially over things like national budgets and decision-making.
For Bangladesh, the EU offers important lessons. As it looks to work more closely with nearby countries, it needs to find the right balance between boosting the economy and protecting its independence and cultural identity. If Bangladesh takes the right lessons from the EU’s experience, it can strengthen regional partnerships in a way that supports long-term growth while still looking after its own interests.
———
Geopolits Research Desk
————–