The economic crisis, followed by the sovereign debt crisis, resulted in high
unemployment, unsustainable public finances and deepening disparities between Euro Area
member states, and underlined the necessity of strengthening economic coordination. In order to
lessen the effects of the crises, to prevent further deepening of the economic context and the
appearance of new similar situations, the European framework was improved by the provisions
of the new economic governance. The aim of this paper is to assess the effects regarding
macroeconomic stability within Euro Area member states, achieved under the new economic
governance framework. In this respect, the first part of the paper consists in an overview of the
provisions imposed through the European Semester, the reformed Stability and Growth Pact and
the other elements of the new European governance. In order to assess the achievement of
economic stability we analyzed data for Southern Euro Area member states, during 2009-2013,
as this group of countries registered most issues during 2013. We took into consideration five
important indicators, essential in any economy that form the macroeconomic stability pentagon:
economic growth rate, unemployment rate, inflation rate, budgetary balance and current
account balance. By comparing the area obtained through the macroeconomic stability
pentagon, we conclude on meeting one of the main objectives of the new European governance:
economic stability.