Italian banks have backed the European Central Bank’s plan for a digital euro, while pressing for the financial burden of implementation to be spread over time given high capital expenditure requirements.
“We’re in favour of the digital euro because it embodies a concept of digital sovereignty,” said Marco Elio Rottigni, general manager of the Italian Banking Association (ABI), at a press seminar in Florence, as reported by Reuters. “Costs for the project, however, are very high in the context of the capital expenditure banks must sustain, they could be spread over time.” He added that a twin-track approach pairing a central bank digital currency with commercial bank digital currencies could move faster and help Europe avoid falling behind.
The ECB says its plan is designed to keep central bank money accessible and relevant in an economy that is increasingly digital, reduce reliance on non-European payment service providers, and respond to the popularity of stablecoins. The Governing Council decided at its Florence meeting on 29-30 October to move the project to the next phase following a two-year preparatory period. If legislation is adopted, the pilot is slated for 2027, with a prospective launch in 2029.
Not all European lenders are convinced. Some French and German banks have argued a digital euro might encourage millions to use an ECB wallet for daily payments, potentially draining deposits from commercial institutions, according to Reuters’ reporting. In Italy, sector leaders have framed support around a more flexible investment timetable and interoperability with private initiatives.
The discussion also extends to the European Parliament. Fernando Navarrete of Spain’s Partido Popular, who is leading the legislature’s assessment, presented a draft report on 28 October advocating a scaled-down scheme to safeguard private payment projects such as Wero, backed by 14 European lenders.
Crypto-focused outlets have echoed the theme of digital sovereignty, with ForkLog noting the ABI’s support and caution on cost, and Cryptopolitan highlighting calls for a “flexible, long-term payment plan” to manage implementation. Cryptopolitan further referenced international developments, from China’s push with the digital yuan to trials in the UK, Japan, Sweden and Brazil, though European timelines remain contingent on EU law, expected in 2026.
Piero Cipollone, an ECB executive board member, said the digital euro “will allow people to enjoy the benefits of cash in the digital age. It will enhance the resilience of the European payment landscape, reduce costs for merchants, and create a platform for innovation, scaling, and competition for private companies.”
