ECB/Lagarde: If the Digital Euro Emerges, It Will Not Replace Banknotes

The European Central Bank President Christine Lagarde stated in an interview with Le Monde, "If the digital euro comes to light, it will not replace banknotes." Responding to Le Monde's question, "Is the ECB considering creating a digital euro to support growth, or to address geopolitical issues like the emergence of a digital yuan?" Lagarde emphasized, "This is merely a matter of making our currency suitable for the digital age. Given how rapidly digital payments have spread, especially among young people, it is important to meet this demand. If the digital euro comes to light, it will not replace banknotes; it will be a complementary element.

If we can have a payment tool that is more efficient, less costly, causes less pollution, as easy to use as cash, ensures traceability while preserving privacy, reduces the cost of money transfers between countries, and strengthens the international role of the euro, it would be a shame not to explore this! What we are doing is starting experiments on the digital euro at the ECB and initiating public consultation."