Regional initiatives have flourished since the end of the Cold War. Given the degree of integration it has achieved, the European Union is often cited as a model of regional integration. This article argues that European integration has been the product of very specific historical conditions, implying that the politics and dynamics of regional integration in Europe may not be appropriate for and replicable in other regions. It also discusses European monetary union (EMU) and argues that integration within EMU is still incomplete in particular because economic policies are not sufficiently coordinated. Finally, it discusses the contribution of regional integration to global governance and suggests that the “European model” can be a source of inspiration for the rest of the world not as much as a process to emulate as for the lessons that can be learned from the dynamics and experience of European integration about some important issues in managing economic interdependence.