“The digital euro will further promote innovation and competition in retail payments,” according to the ECB president.
European Central Bank President Christine Lagarde said September’s 3.8% euro area inflation rate largely reflected higher energy prices, which the ECB expects to ease next year.
Lagarde said that while the energy shock is expected to keep euro area inflation above the bank’s target through the first half of 2027, a measured policy response remains appropriate, according to a statement Presented at the IMF’s annual meeting on Saturday.
In the meantime, the ECB is developing a digital euro, Lagarde added. “In the retail space we are preparing to complement cash with its digital equivalent — the digital euro — for everyday payments. The digital euro will further drive innovation and competition in retail payments, ensuring that the continued coexistence of public and private solutions underpins Europe’s strategic sovereignty in payments.”
Read more
