During a hearing with the Economic Affairs Committee of the European Parliament, Piero Cipollone, member of the executive board responsible for the project, confirmed that the European Central Bank (ECB) will finalize the preparation phase of the digital euro this October. However, he noted that by that time, neither the Member States nor the European Parliament would likely have adopted the legislation needed to govern its use.
The ECB anticipates that the legislation will be approved in the second quarter of 2026. Following its approval, it would take “between two and a half to three years” to develop and implement the digital euro infrastructure, Cipollone explained.
The ECB had urged European legislators to approve the proposal, which the European Commission presented in 2023, before the end of the digital euro’s preparation phase in October. However, Cipollone today expressed understanding regarding the delays, acknowledging that it is a “difficult” project that continues to “improve” through ongoing discussions.
Cipollone, an Italian, assured that in this context, the ECB is trying to plan the forthcoming steps while minimizing costs in case the digital euro is not approved, although he emphasized that the ECB does not wish this scenario to occur.
To achieve this, contracts with suppliers stipulate that payments will not be made in advance but will occur only after the project’s initiation and according to expenses incurred.
The ECB has been working on the digital euro project since 2021. This initiative is intended as a means of payment supported by the ECB, complementary to physical cash, free of charge, and accessible even without an internet connection, as currently planned.
The institution argues that the project would reduce reliance on third-country providers who currently dominate the digital payment systems in the EU, thereby enhancing the bloc’s autonomy. This objective has gained political momentum amid rising geopolitical tensions.
