Filenews 17 April 2025 - by Eleftheria Paizanou
The digital euro and other important issues will be discussed during the Republic of Cyprus assuming the Presidency of the Council of the European Union, in the first half of 2026.
It is the second time, after 14 years, that Cyprus has assumed the European Presidency. In fact, Brussels considers it very important that the debate on the digital euro will be raised during our Presidency, as it is expected that there will be proper handling, taking into account the excellent performance of the Cypriot economy, in relation to the reduction of public debt, inflation, unemployment and the strengthening of growth rates.
The position of the President of the Eurogroup and Minister of Finance of Ireland, Pascal Donahue, during his contacts in Cyprus, was also characteristic, stating that "I know that we will find ourselves in very safe hands under the leadership of Cyprus".
According to information from "F", during the meeting that the President of the Republic Nikos Christodoulides had with the President of the Eurogroup, the economic developments and the disruption caused by the imposition of tariffs by US President Donald Trump were extensively discussed.
Brussels considers the digital euro to be a crucial issue, as it is linked to new US policies. This is because Trump, through the trade war he had declared with the rest of the countries, promotes cryptocurrencies because they are linked to the US dollar. That is, the redemption of cryptocurrencies is done in dollars. Europeans are particularly concerned that if cryptocurrencies prevail, the U.S. will be able to control the global economy even more. That is why Europe is investing heavily in the digital euro. It believes that it will help to support a competitive and resilient European payment system, contribute to Europe's economic security and strengthen the international role of the euro.
The European official argued that the competitiveness of the European Union, the continuation of the work on the delivery of the digital euro and the continued focus on the European Union budgets are important projects, which will be continued or completed under the Cyprus Presidency.
What is a digital euro?
It is worth noting that the digital euro will be an electronic means of payment, available to everyone free of charge. Specifically, it will be used like cash today. It will essentially be a European, electronic means of payment accessible and acceptable in all euro area countries. It is noted that a digital euro is very different from cryptocurrencies, as it is backed by the European Central Bank, which guarantees its stability. It will have the same value as the physical currency and can be used in the same way for every day-to-day spending, even across borders.
With a QR code it will be able to be used to make payments from a secure app on the phone, even to make payments when there is no internet connection. When fully implemented, merchants will have to accept the digital euro just as they accept cash today.
He asked to know about the demands of the Americans
A competent government source told "F" that the president of the Eurogroup asked to receive information about the contacts that President Christodoulides had in the United States and the messages he received from American investors.
According to the government, the American investors explained to the President of the Republic the obstacles they face to invest in Europe, which, as they claimed, with the strict supervisory framework and the policies it implements, imposes tariffs (restrictions) on itself.
The American investors asked the Cypriot delegation to be informed about the legal framework applied in Cyprus in relation to cryptocurrencies. However, during the contacts that the President of the Eurogroup had in Cyprus, he conveyed the concerns of the European institutions in relation to the form of the next financial crisis and whether it will be related to cryptocurrencies.
Both publicly and in private meetings, Mr. Donahue praised the government for its handling of the economy, which contributed to improving public finances at the high levels of the budget surplus, reducing inflation and boosting employment.
