The European Central Bank is intensifying pressure on European Union lawmakers to complete digital euro legislation before the end of 2026, warning that any delay could push the potential launch beyond 2029. Executive Board member Piero Cipollone delivered the message on Tuesday, November 10, before the European Parliament’s Committee on Economic and Monetary Affairs, in a speech titled “Cash and the digital euro: two sides of the same coin.”
Speaking five days after a calmer keynote at a card-industry conference, Cipollone said the uncertain geopolitical environment makes timely progress “essential to strengthen Europe’s autonomy in payments.” The ECB remains technically on track to begin a 12-month pilot in the second half of 2027, involving Eurosystem staff, participating payment service providers, and selected merchants. However, Cipollone stressed that a 2029 issuance remains possible only if lawmakers finalize the legal framework this year.
The legislative process has advanced but remains unresolved. The European Parliament’s Economic and Monetary Affairs Committee adopted its negotiating position in June by a vote of 43–14 with one abstention, before the full Parliament voted in July to open talks with member states. Negotiations among the European Parliament, the Council of the EU, and the European Commission are ongoing, with about seven weeks left in 2026. ECB officials have warned that a delayed rollout could increase Europe’s dependence on foreign payment providers, especially as non-European companies currently govern around two-thirds of card payments in the euro area.
The ECB has also positioned the digital euro as a response to privately issued stablecoins. President Christine Lagarde has promoted the project as an alternative to dollar-pegged tokens, arguing that their spread could weaken central banks’ control over monetary policy. The planned pilot is expected to run real transactions with 36 market operators, while the ECB Governing Council will ultimately decide whether and when to issue the digital euro after the law is adopted. The project faces an additional transition as Lagarde has announced she will step down on February 7, 2027.
