Digital Euro regulation advances, Italy hosts data center
Banca d'Italia participated in a conference in Brussels, highlighting significant progress on digital euro regulation. The legislative process aims for completion by 2026, with potential issuance in 2029.
Legislative push for digital euro
The conference, organized by the Italian Banking Association (ABI) at the European Parliament in Brussels, served as a key forum for advancing the digital euro initiative.
High-level representatives from the European Central Bank and European Commission, alongside various parliamentary groups including The Left, EPP, S&D, ECR, Renew Europe, and Greens/EFA, participated in the discussions.
A primary objective was to review the substantial progress made on the digital euro regulation, which is currently under scrutiny by the European Parliament's Committee on Economic and Monetary Affairs (ECON).
Discussions underscored a growing consensus among political groups on the core elements of the legislative text, indicating a clear forward momentum for the project.
The urgency of completing the legislative process by 2026 was highlighted as crucial for adhering to the overall project timeline, which anticipates a potential issuance of the digital euro in 2029.
This legislative milestone is seen as foundational to the successful rollout of the digital currency, ensuring a robust and harmonized framework across the Eurozone.
Italy's role in digital euro infrastructure
Marco Pieroni, Head of the Digital Euro Unit at Banca d'Italia, detailed the institution's pivotal role in the digital euro's development.
He emphasized Banca d'Italia's extensive experience managing critical payment infrastructures for the Eurosystem, including TIPS (TARGET Instant Payment Settlement), which processes instant payments in central bank money.
This operational expertise forms a strong basis for its contributions to the digital euro platform.
Banca d'Italia is part of the central bank group designing and operating the platform.
Pieroni also confirmed that one of the digital euro's data centers will be located and managed in Italy, highlighting the nation's infrastructure commitment to the project.