Seventy economists urge EU to ‘let the public interest prevail’ on digital euro

Importance of Digital Euro

Seventy prominent economists are urging EU lawmakers to support the introduction of a digital euro. They warn that private stablecoins and foreign payment companies pose risks to Europe’s monetary sovereignty. The economists highlight potential market confidence issues that could arise from competing currencies and emphasize the need to prioritize public interest. The backdrop to this call is the challenges facing traditional financial systems amidst the advances in the digital economy. The introduction of a digital euro by the EU could enhance market stability and provide reliable payment methods for users. Furthermore, a central bank-issued digital currency would improve transparency in the financial sector and serve as a vital information source for regulators. However, implementing a digital euro also entails technical challenges and operational costs. Advocates claim these issues can be overcome, arguing that a public digital currency is essential for sustainable economic growth.