macroeconomic imbalance procedure (MIP)

What is macroeconomic imbalance procedure (MIP)?

macroeconomic imbalance procedure (MIP) definition and meaning on Finance terms:
A procedure aimed at broadening the surveillance of economic policies of the EU Member States to include a detailed and formal framework to prevent and correct excessive imbalances and to help the EU Member States affected to establish corrective action plans before divergences become entrenched. The MIP is based on Article 121(6) of the Treaty on the Functioning of the European Union. The first step of this surveillance procedure of the EU is the Alert Mechanism Report. The MIP has a preventive and a corrective arm. The latter is made operational by the excessive imbalance procedure. See also
Alert Mechanism Report
excessive imbalance procedure<