Paper Title
Administrative Challenges of Regional Development in Europe: Limitations in Apsorption of EU Funds

Abstract
EU regional policy aims to concrete results, which strengthen economic and social cohesion to reduce the differences in development between regions. With the help of EU regional policy a posibility opens to finance projects which benefit both regions, communities and citizens. Regional policy of EU is carried out through funds for regional development. The availability of funds for regional development depends on each country apsorption capacities and its strategic orientation. Absorption capacities are crucial and the level of EU funds utilization affects the investments, employment, living standard and regional development in general. All meber states have on their disposal various funds for financing development project that directly impact reducing disparities between regions. Good ideas transformed into quality projects are precondition for the absorption of EU funds and sustainable regional development. Problems and constraints that arise in the process of project application and absorption of funds appear at all levels of project planning, while the national, regional and local level needs to respond proactively to solve these problems. This paper analyses and indicates the possibilities provided by regional policy and main administrative limitations in apsorption of EU funds in Croatia. The research is conducted as a survey on the sample of 48 responders active in the field of project management and strategic planning. In most cases, there are employees of local/regional government and development agencies. Research results demonstrate a lack of harmonization of national/regional policy with local needs. Nevertheless, there is a lack of bottom up comunication and positive sinergy in order to stimulate regional development. Administrative obstacles between all levels of decision makers and operative levels are at very high level, wich directly impacts on absorption of EU funds. Keywords- Absorption capacities, EU funds, projects, regional development