The ECB continues its efforts to maintain Europe’s leading position in the field of digital finance, stating that the digital euro project should be accelerated.

Evelien Witlox, ECB’s digital euro project manager, stated in an interview with Euronews that Europe should move faster in the development process of the central bank digital currency (CBDC).

Witlox pointed out the progress made by countries such as the United Kingdom and China in CBDC projects and said that Europe may face the risk of losing its leadership in this field.

The reason behind the ECB’s call is the lack of a digital payment system across Europe. 13 of the 20 countries in the eurozone do not have a national card payment system and are dependent on international companies Visa and Mastercard.

Emphasizing this fragmented structure of the European market, Witlox said, “The systems that cover Europe in general are not European.” To correct this situation, the ECB launched an exploration project for the digital euro in October 2021.

However, the fact that the legal framework required for the digital euro to progress has not yet been completed raises concerns within the ECB.

Although nearly 17 months have passed since the European Commission’s proposal on the digital euro, the European Parliament and Council processes have not been completed. This further reinforces the ECB’s determination regarding the future of the project.

Witlox stated that Europe does not have the luxury of wasting time in the digital euro development process and said, “This process needs to be accelerated so that the digital euro is ready when it is really needed.”

Witlox also emphasized that Europe is still ahead globally in CBDC development, but the process needs to move faster to maintain this leadership.

The digital euro project aims not only to modernize Europe’s payment systems, but also to take part in global competition.

While China attracts attention in the CBDC field worldwide with its digital yuan project, the United Kingdom is also working on its own CBDC project. In this context, the digital euro is seen as a critical tool to strengthen Europe’s role in the digital economy.

The biggest obstacle the ECB faces in the process of implementing the project is that the legal framework has not yet been established. Stating that European Union institutions should quickly complete the regulations regarding the digital euro, Witlox warned that this delay could jeopardize the success of the project.

Although an exact launch date for the digital euro has not yet been announced, Witlox reiterated Europe’s determination to complete the project.

In order for Europe to remain in a leading position in the digital finance sector, legal regulations must be completed quickly and obstacles to the digital euro project must be removed.

In this context, the ECB’s call is considered an important turning point that will shape Europe’s digital future.