Allegations regarding the term of office of European Central Bank (ECB) President Christine Lagarde and the new road map determined by the institution in the digital euro project stand out on the agenda. Lagarde is known as an experienced name who has played an active role in the field of international finance for a long time and has held her current position since 2019. His term will end in October 2027. As this date approaches, the possibility of early separation regarding the 2027 presidential elections in France is being closely followed as a development that may affect the market and political balances in Europe.
Conflict of Leadership and Timing
Rumors about Lagarde’s term in office were brought to the public agenda with statements from outside the ECB. However, the ECB announced through a spokesperson that Lagarde continues in her current position and has taken a decision to complete her term. However, the leadership issue and possible changes in the coming period are being watched carefully in the markets.
Clear Calendar in Digital Euro Studies
In its current announcements, the ECB stated that the digital euro project has entered a new phase. Accordingly, preparations for the installation of the system and pilot application have begun. The call for applications for payment service providers is planned to launch in the first quarter of 2026. The call is expected to be published in March 2026 and remain open for six weeks. The pilot application is expected to start in the second half of 2027 and the process will last twelve months.
The pilot process is planned to involve 5,000 to 10,000 European Central Bank employees and 15-25 selected commercial enterprises. This phase is designed to test the functioning of the technological infrastructure and payment ecosystem.
Public Money, Operational Costs and Legal Schedule
In the budget announced by the ECB regarding the digital euro project, the total developer cost will be 1.3 billion euros and annual operational expenses will be around 320 million euros starting from 2029. This means that public resources are allocated for a new digital payment infrastructure.
As of January 2026, the total value of euro banknotes in circulation is approximately 1.6 trillion euros. Eurozone M2 money supply is at the level of 16 trillion euros in December 2025. This size in both cash and liquid assets affects the discussions on the digital euro and regulations; Stablecoin projects and bank funding models are also evaluated in this environment.
Legislation and Market Dynamics
For the transition to the digital euro, the ECB stated that it aims to adopt the relevant legal regulation in 2026. In this case, it is planned to be ready for use in 2029. However, if legal preparations are delayed, the project schedule may be postponed. Delays in the legal process could lead to private sector initiatives and euro-based stablecoin offerings coming to the fore.
In the management of the ECB, the main structure that determines policy decisions is the Governing Council. The president plays a central role in terms of communication and directing the process. While the deposit interest rate was kept constant at 2% on February 5, 2026, the data-driven approach was maintained. In January 2026, inflation decreased to 1.7%.
“The pilot phase focuses on testing real transactions in a controlled environment and developing a digital payment layer based on public interest,” the ECB said. made the statement.
Companies and industry representatives are expected to come to the fore in March, when preparations gain momentum. At the same time, political decision makers have to take public opinion into account on issues such as privacy and control. In recent months, both leadership and the digital money project have stood out as decisive topics in the European payment industry.
