The European Parliament is gearing up for a highly symbolic vote that could clarify political backing for a digital euro, the long-mooted central bank digital currency (CBDC) project led by the European Central Bank (ECB). On Tuesday, lawmakers are expected to vote on the annual European Central Bank work report, into which a group of Members of the European Parliament (MEPs) has inserted an amendment expressly supporting an “online and offline digital euro” that bolsters universal access to payments and reduces dependence on non-European providers.
Although the ECB annual report and its amendments carry no direct legislative force, the outcome will provide a public test of political sentiment in the Parliament’s plenary, at a time when EU institutions are struggling to reach a common position on the digital euro’s design and scope.
A bloc of 48 MEPs, led by Italian lawmaker Pasquale Tridico, inserted the digital euro passage to signal support for a broad CBDC that integrates both online and offline functionality and guards against reliance on private, foreign payment systems.
Why This Vote Matters
The Parliament’s official stance on the digital euro is expected to shape upcoming legislative negotiations with the European Commission and the Council of the EU — the two other co-legislators under the ordinary legislative procedure. Debate within the Parliament has been fractious, with divisions emerging over technical design issues such as whether the digital euro should offer retail accounts directly with the ECB or remain a tokenised “e-cash” only for offline use.
Supporters of a robust digital euro argue the CBDC will preserve European monetary sovereignty, reinforce privacy safeguards, and modernise payments infrastructure in the face of declining cash usage. An official ECB plenary statement recently underscored these benefits, saying the digital euro would offer digital payments across the euro area with strong privacy protections and anchored in European infrastructure.
Meanwhile, the Council of the EU has already agreed on its own position backing a digital euro that includes both online and offline use, aligning broadly with the amendment being voted on by MEPs.
Political Crosswinds
Despite these converging positions, political consensus is not assured. Some centre-right MEPs have floated alternative models, including a scaled-down “tokenised” version designed mainly for offline use, reflecting ongoing concerns about cost, complexity, and privacy.
The Parliament’s vote comes amid mounting pressure on EU institutions to deliver on the digital euro after years of preparatory work by the ECB. The bank completed its technical preparation phase in 2025 and envisions a broader launch timeline that could see the CBDC operational by the late 2020s, possibly around 2029. The project’s future hinges on political agreement across institutions as well as addressing issues from financial stability to market structure.
An open letter from around 70 academics recently urged MEPs and other EU policymakers to authorise the CBDC, warning that continued reliance on non-European payment giants could expose the euro area to economic and geopolitical risk.
For now, Tuesday’s vote offers the first clear moment of truth in the Parliament’s plenary this year — a barometer of where political support for the digital euro truly stands and a key stepping stone toward what could be a high-stakes legislative showdown later in 2026.
Related: Digital Euro Faces Parliamentary Deadlock as Lawmakers Clash Over Design