- The Italian Banking Association supports the digital euro project.
- Advocacy for staggered implementation costs to ease financial burdens.
- Concerns about liquidity shifts and impacts on bank deposit flows.
Italian banks, represented by the Italian Banking Association and led by Marco Elio Rottigni, are supporting the European Central Bank’s digital euro project, announced at a Florence seminar on November 7, 2025.
This support underscores a push for digital sovereignty, though banks urge staggered implementation costs due to financial strains, highlighting potential impacts on liquidity and cross-European financial structures.
Lede: The Italian Banking Association (ABI) has expressed strong support for the European Central Bank’s digital euro project. They stress the necessity to spread implementation costs to lessen the financial strain on banks.
Nutgraph: Marco Elio Rottigni, General Manager of ABI, advocates for the staggered implementation of the digital euro costs. The decision aims to alleviate the heavy expenditure burden associated with this significant financial undertaking.
“We’re in favour of the digital euro because it embodies a concept of digital sovereignty. Costs for the project, however, are very high in the context of the capital expenditure banks must sustain. They could be spread over time.”
— Marco Elio Rottigni
Liquidity and Financial Implications
Immediate effects involve potential shifts in liquidity preferences and deposit flows. Commercial deposits may move towards ECB-hosted wallets, affecting the banking sector’s liquidity landscape.
Financial implications include significant capital expenditures from institutional budgets. This could potentially involve joint financial contributions from various Italian banks to manage the rollout’s costs effectively.
Digital Sovereignty Goals
The digital euro project aligns with broader digital sovereignty goals. Historical trends in Europe show resistance to retail-facing CBDCs, especially due to concerns over deposit shifts toward central banks.
Potential outcomes include changes in how banks approach consumer financial services and adjustments in their reliance on existing financial rails. The digital euro may also influence stablecoin demand and interbank digital transactions.
