ECB hopes to have political deal on digital euro by early 2026
The ECB has been working on a digital version of the euro for years but progress has been slower than expected, mostly because legislation is still not in place to allow the bank to proceed.
Financial upheaval in the aftermath of Donald Trump's election as the U.S. President has increased the urgency, however, as Europe relies on big U.S. firms for most digital payments, a potential financial vulnerability.
"I hope to have everything done by the beginning of next year, very early next year," Cipollone told a conference when asked about the timing of the legal framework. "We need the legislation in place, and from that, two to three years will be enough to launch the digital euro."
Unlike when they make a card payment by the likes of Visa or Mastercard, consumers paying with a digital would have a direct claim on the central bank and their funds would be similar in function and security as cash.
It would allow customers to make direct payments both in online and offline formats.
Cipollone said a key hurdle is getting a political agreement from EU member states but that could be reached before the summer. Work by the European Parliament could take somewhat longer, he added.
When asked if Trump could accelerate the process, French central bank chief Francois Villeroy de Galhau, speaking at the same event, said it enhanced the ECB's determination.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Reuters
3 minutes ago
- Reuters
Brazil's Petrobras eyes increase of production at three FPSOs
RIO DE JANEIRO, Aug 18 (Reuters) - Brazilian state-run oil firm Petrobras ( opens new tab is looking to increase production at three floating offshore production platforms (FPSO) it operates in the country, the head of Exploration and Production, Sylvia dos Anjos, said on Monday. Production at the firm's Almirante Tamandare FPSO in Buzios field could increase from the current 225,000 barrels of oil per day (bpd), reached last week, to 250,000 bpd, Anjos said, adding it also looks to increase output at the Marechal Duque de Caxias FPSO, in Santos Basin. Anjos did not name the third FPSO. Both FPSOs mentioned by name have already reached peak production, but the state-run oil firm is negotiating with Netherland's SBM Offshore ( opens new tab and Japan's Modec (6269.T), opens new tab to increase production beyond that limit, said Anjos. "There are contracts to renegotiate," said Anjos, adding that there is "good will" by the firms operating the vessels.
Reuters
3 minutes ago
- Reuters
Hamas told mediators it approves latest Gaza ceasefire proposal, group official says
CAIRO, Aug 18 (Reuters) - Hamas has informed mediators that it approves the latest Gaza ceasefire proposal, a group official told Reuters on Monday. The official did not provide further details.
Reuters
3 minutes ago
- Reuters
Ukraine's constitution and territory: could Kyiv hand over land to Russia?
KYIV, Aug 18 (Reuters) - Territorial questions are certain to be a key area of focus when Ukrainian President Volodymyr Zelenskiy and European leaders meet U.S. President Donald Trump for talks on Monday to map out a possible peace deal to end Russia's war in Ukraine. Russia occupies around a fifth of Ukraine and the U.S. president has said "land-swapping" and changes to territory will be crucial for any settlement. Two sources briefed on Russian thinking said on Saturday that Putin and Trump have discussed a proposal requiring Ukraine to fully withdraw troops from the Ukrainian-controlled parts of the eastern Donetsk region. Any changes to Ukraine's territory would have to be settled in Ukraine by a referendum, according to the country's constitution. "Issues of altering the territory of Ukraine are resolved exclusively by an All-Ukrainian referendum," Article 73 says. The question can be put to a referendum by popular initiative if the signatures of three million eligible Ukrainian voters are gathered from at least two thirds of the country's regions, it says. Ukraine, like its European allies, strongly opposes the idea of legally recognising any Ukrainian territory as Russian. But it has tacitly acknowledged it will almost certainly have to accept some de facto territorial losses. Zelenskiy has said talks to end the war should take the current front line as their starting point and cannot begin by Kyiv having to withdraw its troops from parts of its own sovereign territory that Russia does not control. He has said he does not have a mandate to give away any of the country's territory, and that tracts of state land cannot be traded around as if they were his private property. Zelenskiy has also said that if Kyiv withdrew troops from the heavily fortified eastern Donetsk region, it would open up Ukraine to the threat of Russian advances deeper into less well-defended Ukrainian territory. The U.S. president has publicly criticized Zelenskiy for saying he could not violate the constitution by agreeing to give away territory. "I was a little bothered by the fact that Zelenskiy was saying: 'Well, I have to get constitutional approval'. I mean, he has got approval to go into war, kill everybody but he needs approval to do a land swap. Because there will be some land swapping going on", he told the press on August 11. A clear majority of Ukrainians want a negotiated settlement, according to opinion polls, but they also oppose recognising Ukrainian land as Russian. The Kyiv International Institute of Sociology says that an opinion poll it conducted in June showed that 68% of those questioned oppose the idea of officially recognising "some parts" of occupied land as Russian, while 24% are open to this. The same survey showed that 78% are against the idea of giving up on land that Kyiv's troops still control. The pollster did not survey opinions in areas occupied by Russia.
