ECB: Digital Euro Could Cost EU Banks €4–6 Billion Over Four Years
A senior policymaker at the European Central Bank said on Thursday that rolling out the digital euro could cost European banks between €4 billion and €6 billion ($4.7–$7.1 billion) over a four-year period. The remark frames the digital euro not only as a payments innovation but also as a source of near-term financial impact for incumbents during initial deployment.
The estimate matters because lost fee income, possible shifts of deposits to central bank accounts and upfront technology investments could squeeze bank profitability and affect credit supply. ECB officials are weighing design features — such as holding limits or tiered remuneration — to reduce disruption, but the trade-offs will shape financial stability and the politics of adoption across the EU. The timeline and final design remain central to how large the costs will be for banks and the wider economy.