The European Central Bank (ECB) is reportedly targeting 2029 for the launch of its digital euro, contingent on the establishment of a supporting legal framework.
According to a Bloomberg report on Wednesday citing sources familiar with the matter, ECB officials will continue developing the project once the current preparation phase concludes this month. The digital euro initiative, first explored in 2020, entered its preparatory stage in late 2023.
Sources said preparatory discussions will continue at an upcoming meeting in Italy, as the ECB hopes lawmakers can agree on and pass the necessary legislation within the next four years.
EU Lawmakers Still Divided on a Digital Euro
The proposal has faced strong skepticism from banks, member states, and consumers over privacy and security concerns. Legislation introduced to the European Parliament in 2023 has stalled amid political hesitation and last year’s 2024 elections.
In September, ECB Board Member Piero Cipolloni suggested mid-2029 as a potential launch target, predicting that the European Parliament could reach a consensus by May 2026. Cipolloni said the digital euro would provide all Europeans with free, universally accepted digital payments, ensuring resilience even during major disruptions such as wars or cyberattacks.
Global CBDC Landscape
According to the Atlantic Council, only three countries — Nigeria, the Bahamas, and Jamaica — have fully launched central bank digital currencies (CBDCs). Another 49 countries are currently in the pilot phase, testing similar systems as interest in state-backed digital money continues to grow worldwide.
Data from the Human Rights Foundation, which launched its own CBDC tracker in November 2023, highlights improved payment efficiency and greater financial inclusion as key potential benefits of central bank digital currencies.
However, the organization also warns of significant drawbacks, including the risk of privacy violations and the possibility of expanded government control or corruption, among other concerns.
