Europe wants its own payment system – digital euro awaiting legislation

On Friday, EU finance ministers will attempt to agree on a common position on the digital euro project, which could become an alternative to the dominant US payment systems Visa and Mastercard.

This idea has been under discussion for six years, but the debates have recently gained intensity.
Brussels wants to reduce dependence on foreign providers in key areas, including finance.
Spanish Finance Minister Carlos Cuerpo said Europe needs its own digital payment system and must act quickly.

EU Commissioner Valdis Dombrovskis also emphasized the importance of strategic autonomy: The digital euro should become a tool for internet payments, guaranteed by the central bank, that does not rely on US platforms.

Although the project enjoys political support, the necessary legislation is still lacking.

The European Parliament has so far blocked the proposals because, in the opinion of MEPs, several details still need to be worked out.

The European Central Bank hopes that the laws could be passed in the first half of next year.
The actual introduction of the digital euro would then take another two to three years.

(reuters, red)