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ECB Moves Digital Euro to Final Prep Phase With 2027 Pilot and 2029 Target

The timeline hinges on EU legislation expected in 2026.

Overview

  • The ECB Governing Council advanced the project to its next and final preparation phase focused on technical readiness, market engagement and support for lawmakers.
  • The bank says a pilot with initial transactions could start in mid-2027, with the Eurosystem prepared for a potential first issuance in 2029.
  • Progress depends on the European Parliament, Council and Commission approving an enabling legal framework, with governments seeking a say on issuance decisions and holding limits.
  • European leaders have pressed for faster work, and the ECB pegs development costs at about €1.3 billion with ongoing operating costs near €320 million per year.
  • Political and public resistance continues, including a draft proposal to make the CBDC only a fallback if private payments fail to unify the market and privacy objections from crypto users.