This week, EUROPE is publishing several working documents (see EUROPE 13282/8, 13283/3), sent to the delegations of the Member States by the Spanish Presidency of the EU Council, concerning the digital euro project.
These documents provided input for the work of the EU Council working group, on 24 October, on the European Commission’s proposal to provide a legal framework for the digital euro, should it be launched (see EUROPE 13211/11).
One of these documents concerns the provisions regulating the model for the distribution of digital euros by payment service providers (PSPs) in digital euros, referred to in Article 13 of the legislative proposal. The document also addresses the issue of accessibility of digital euros, as referred to in Article 14.
The Presidency points out that some Member States have raised the question of the structure of Article 13 and the possibility of clarifying it, in particular to distinguish between the legal provision establishing that PSPs may provide digital payment services in digital euros and the provision establishing who may use digital euros. Some Member States have asked whether all types of payment institutions should be allowed to provide all types of digital euro payment services. The European Commission is preparing a non-paper on the link between the Payment Services Directive (Directive 2015/2366/EU) and digital euro payment services. The Commission has already indicated that its proposal is not that all PSPs should be able to provide all services, but that payment service providers should be able to provide services related to the digital euro without having to obtain a new licence under the Payment Services Directive 2.
The Commission also justified its proposal for a time limit on the use of the digital euro for visitors and former residents of the euro area by the need to avoid an uncontrolled quantity of digital euros being in circulation for third countries and Member States whose currency is not the euro.
Further work focused on paragraph 13(2) and this proposal establishing that payment service providers that provide account servicing payment services (ASPSPs) should allow digital euro users to fund or release their digital euro accounts from bank deposits (or in cash, if the payment service provider provides cash services).
The Presidency addressed a series of questions to delegations on several other aspects of Article 13.
The Member States were also polled on the provisions of Article 14 of the proposal, which introduces two obligations concerning access to the digital euro in the euro area countries: the obligation to distribute digital euros and the obligation to adopt measures for financial inclusion. Some delegations asked for clarification on the scope of the obligation and its operationalisation.
For further information: https://aeur.eu/f/9d0 (Original version in French by Émilie Vanderhulst and Mathieu Bion)