A RETROSPECTIVE ANALYSIS OF THE EUROPEAN PRACTICE OF TRANSFORMATION OF THE ECONOMIC ENVIRONMENT OF THE BORDER AREAS IN THE PROCESS OF EU ENLARGEMENT

Abstract

The theoretical foundations of the essence and organization of the economic environment of border areas are generalized. The features of its transformation are outlined on the basis of the analysis of changes in the qualitative and quantitative characteristics of its structural elements in the context of deepening European integration processes. The priorities of the EU Regional Policy in the field of regulating the development of internal and external border regions are outlined and the main instruments for its implementation are structured. The development of border regions is monitored by the main socio-economic indicators of their development. The factors of formation and functioning of the shadow sector of the regional economy are substantiated and systematized, and the main methods of its assessment are summarized. Promising directions for the development of border areas in the context of liberalization of foreign economic activity are identified, and relevant proposals to public authorities and local governments are prepared. According to The EU Action Plan for the border regions is envisaged and systematized: Increased investment in transport infrastructure of the Trans-European Networks (TEN) by increasing the level of Community support for TEN projects to 20% to finance the most urgently needed projects in the border area; reorientation of structural instruments to maximize the impact of EU financial assistance; financing measures aimed at strengthening cooperation between small and medium-sized enterprises ; providing the EU with EUR 20 million for networking activities between border regions and candidate countries within the framework of INTERREG; modification of the Phare-CBC program in order to: identifying the same priority areas under Phase CBC and INTERREG A; simplifying co-financing of transnational (INTERREG B) or interregional (INTERREG C) cooperation projects that are important for improving the socio-economic situation in the border area; launching a special program of the European Investment Bank (EIB) to support healthcare and transport infrastructure projects in the border regions of the candidate countries.