ECB Chief Seeks Urgent Progress on Digital Euro Legislation
European Central Bank President Christine Lagarde said that legislation for the digital euro could be finalized by the end of 2026, as she emphasized the importance of moving forward with the project's development. The pilot phase for the digital euro is expected to begin in mid-2027, consistent with the current timeline.
Lagarde also announced the launch of 'Pontes', a Eurosystem solution that will connect market DLT platforms with TARGET services for the settlement of wholesale financial transactions using central bank money. Pontes is based on distributed ledger technology and is set to begin operations this Monday.
In her comments, Lagarde noted that the economic outlook remains uncertain and expressed concerns about interest rates not moving in sync with energy prices. She also mentioned rising bond yields as part of a global trend and called for continued monitoring of financial markets.