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Region: The Western Isles
The eu works because of the close economic relationship between the european countries. Given that balnik was in the UCCR until 1980 something, you're gonna have a hard time replicating 70 years of economic ties following ww2. The biggest issue is you guys have to decide your common interests and whether real nations would take the route you're taking.
One of the biggest problems you're going to have trying to make this thing work is your nation's lack of history. Due to a complete lack of 20th century history, your nation as it stands does not have a character beyond an emulation of nazi germany. Without at least an outline of what happened to bring your nation to it's current position or, hell, even to the year 1950, you're gonna have some issues.
Once you get your history sorted out in terms of your internal canon, start diving into other peoples histories in your immediate vicinity and try to find a way to combine those histories in a way that makes sense. Once you do that, you can define your nations current interests and see how that clashes or jives with other members of the region.
Athara magarat, New totzka, Austrovik-Germania, and Kyrazakhstan