EU officials hold 'constructive' meeting to strengthen international role of euro

European Union leaders held "constructive" initial discussions Monday on renewed efforts to strengthen the international role of the euro, EU Commissioner for Economy Valdis Dombrovskis announced.

Dombrovskis said at the Eurogroup press conference in Brussels that the increasingly complex geopolitical environment provides a new impetus for action on this issue.

"A greater international role for the euro can be an important cornerstone of our de-risking strategy and help to ensure economic and financial stability and security," he said.

At the same time, Dombrovskis said, it can boost the EU's competitiveness, for instance by lowering borrowing costs and shielding EU importers and exporters from exchange rate fluctuations.

Dombrovskis explained that at the meeting, he presented finance ministers with a comprehensive set of possible actions regarding the global role of the euro, stating that its global appeal would be determined, above all, by the strength and resilience of the European economy.

He noted that within the EU, they need to implement the Savings and Investment Union, finalize the digital euro proposal, diversify their trade network, and improve their defense capabilities.

Pointing out that widespread use of the euro would contribute to these efforts, he said: "I would say that there was a broad consensus from ministers on working on the international role of the euro."

He also said they discussed possible additional actions reflecting new challenges, adding: "There is a need to make EU retail payment systems more autonomous, building around the digital euro's infrastructure and wide acceptance network, and to enhance the issuance of euro-denominated digital assets."