The three main decision-making institutions—the European Commission the European Parliament, and the Council of the EU form the so-called "institutional triangle." Additional bodies like the European Council, Court of Justice, European Central Bank, also play essential roles in governance, financial management, and oversight.
The following provides an overview of the core EU institutions and their functions:
European Commission
Role: The Commission acts as the executive arm of the EU. It is responsible for proposing legislation, implementing decisions, managing the day-to-day business of the Union, and upholding the EU treaties. Commissioners are nominated by member states and act independently of their national governments
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Initiates legislation (but does not pass laws itself).
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Ensures the correct application of EU law (can bring cases before the Court of Justice).
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Manages the EU budget and oversees funding programs.
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Represents the EU internationally on matters such as trade negotiations.
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Source European Commission. About the European Commission. https://commission.europa.eu/about-european-commission_en
European Parliament
Role: The directly elected legislative body of the EU, representing over 400 million citizens across the member states. Members of the European Parliament (MEPs) are elected every five years.
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Co-legislates with the Council of the EU on most EU laws (ordinary legislative procedure).
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Approves the EU budget jointly with the Council.
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Supervises and holds other institutions accountable, including approving the Commission as a body.
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Plays a role in international agreements and enlargement decisions.
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Source European Parliament. The European Parliament Explained. https://www.europarl.europa.eu/at-your-service/en/be-heard/elections
Council of the European Union (Council of Ministers)
Role: Represents the governments of the EU member states and shares legislative and budgetary authority with the European Parliament.
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Negotiates and adopts EU laws together with the Parliament.
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Coordinates policies of the member states (particularly in areas like economic and fiscal policy, education, culture, youth, and sport).
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Develops the EU’s foreign and security policy, based on guidelines set by the European Council.
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Signs international agreements on behalf of the EU.
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Source Council of the European Union. What Does the Council Do? https://www.consilium.europa.eu/en/council-eu/what-does-the-council-do/
European Council
Role: Consists of the Heads of State or Government of the EU member states, the President of the European Council, and the President of the Commission. Sets the EU's overall political direction but does not pass laws.
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Defines the general political priorities and strategic direction of the EU.
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Decides on sensitive issues like treaty changes and foreign policy strategies.
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Appoints key positions (including the Commission President and High Representative for Foreign Affairs).
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Source European Council. Role of the European Council. https://www.consilium.europa.eu/en/european-council/role/
Court of Justice of the European Union (CJEU)
Role: Ensures that EU law is interpreted and applied consistently across all member states. Includes two main bodies: the Court of Justice and the General Court.
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Reviews the legality of the acts of EU institutions.
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Ensures that member states comply with their obligations under EU law.
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Interprets EU law at the request of national courts (preliminary rulings).
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Source Court of Justice of the European Union. Presentation of the Court. https://curia.europa.eu/jcms/jcms/Jo2_7024/en/
European Central Bank (ECB)
Role: Manages the euro and formulates the monetary policy for the Eurozone (the 20 EU countries that use the euro as their currency).
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Maintains price stability by setting interest rates and controlling inflation.
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Supervises banks within the Eurozone.
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Issues euro banknotes and manages foreign currency reserves.
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Source: European Central Bank. About the ECB. https://www.ecb.europa.eu/ecb/html/index.en.html
European Court of Auditors (ECA)
Role: Acts as the financial watchdog of the EU, ensuring that EU funds are properly collected, spent, and accounted for.
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Audits the EU's income and spending.
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Issues annual reports on the implementation of the EU budget.
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Provides recommendations for improving financial management and combating fraud.
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Source European Court of Auditors. Who We Are. https://www.eca.europa.eu/en/Pages/ecadefault.aspx