An official from the European Central Bank (ECB) warned that the implementation of the digital euro is estimated to cost EU banks between 4 and 6 billion euros over a four-year period. Pier Giorgio Cipollone, a member of the ECB's Governing Council, provided insights on this financial impact and mentioned that the creation of the new central bank digital currency would itself cost about 1.3 billion euros. In addition, operational expenses related to the digital euro are forecasted to be around 300 million euros, although it remains unclear if this figure represents an annual cost.

The ECB views the digital euro as a pivotal step to ensure the relevance of public money in a rapidly evolving digital economy. It aims to unify Europe’s fragmented payment landscape while reducing reliance on non-EU providers, thereby reinforcing the monetary sovereignty and financial security of the Union. This move comes at a crucial time as the global economy increasingly shifts towards digital transactions and away from traditional forms of currency.

Cipollone's statements underscore the significant investments required for the rollout of this digital currency, highlighting both the anticipated costs for financial institutions and the larger vision of integrating a more robust digital payment system in Europe. As the EU prepares for legislation governing the digital euro, stakeholders are closely monitoring its potential impact on banking operations and the overall economy.