A digital euro could foster innovation in the European payments system and boost financial inclusion, according to a report published today on the outcome of the first iteration of the digital euro innovation platform – an initiative launched by the European Central Bank (ECB) in October 2024 for collaboration and experimentation with digital euro project stakeholders.
This iteration of the innovation platform brought together almost 70 market participants, including merchants, fintech companies, start-ups, academia, banks and other payment service providers, to explore possible applications of the digital euro.
Participants joined one or both of two workstreams: “visionaries” and “pioneers”. The visionaries focused on gathering innovative ideas and exploring the long-term potential of the digital euro, while the pioneers concentrated on technical experimentation. Both workstreams highlighted the importance of harmonised standards, a shared infrastructure and ongoing collaboration with market participants for ensuring the scalability, reliability and usability of the digital euro across the euro area.
Today’s report presents the findings of the two workstreams. It describes the innovations and applications that the digital euro platform could enable, some of which are highlighted below.
Conditional payments, i.e. payments that are triggered automatically when predefined conditions are met, were identified as a possible key driver of innovation and an example of how the digital euro could improve the day-to-day lives of European citizens. As set out in the current draft legislation, a digital euro would offer core technical capabilities, such as the reservation of funds functionality, which would allow money to be set aside while a payment in progress. Unique features such as this, in conjunction with the harmonised standards established by the digital euro rulebook, would allow payment service providers to develop the additional technical layer needed to enable conditional payments. In online shopping transactions, for example, funds could be released to the seller only after the buyer confirms that the item has been delivered, ensuring greater consumer protection. Insurance reimbursements could be automated and, in the case of delayed services, refunds could be streamlined. For shared mobility services and public transport, conditional payments could enable tap-and-go transactions and automatically calculate the best available fare. These concepts were successfully tested in a simulated digital euro environment.
Conditional payments were also tested in the context of business-to-business (B2B) payments, which typically involve larger amounts and more complex contractual agreements. It was found that a digital euro would contribute to reducing fragmentation and costs for B2B payments, while bringing increased standardisation and liquidity.
Integrated electronic receipts (e-receipts) within the digital euro ecosystem could provide consumers with structured access to their purchase records, simplifying tasks such as returns, warranty claims, expense reporting and personal budgeting. For merchants, e-receipts could significantly reduce operational costs and improve efficiency. Eliminating billions of printed receipts each year would not only simplify people’s lives, but also bring clear environmental benefits such as reducing chemical waste, resource use and emissions. E-receipts would be strongly encrypted, meaning they could only be seen by the buyer and the seller.
The digital euro could also improve inclusion and accessibility, for example with tailored wallets for children to help them learn how to spend and save responsibly from a young age. Students could gain easier access to dedicated benefits and discounts with free digital euro wallets. To ensure accessibility, the digital euro interface could incorporate user-friendly features such as voice-controlled transactions, large-font displays, and guided onboarding processes.
Following the success of these partnerships and amid further demand from market participants, the ECB has decided to launch a second round of experimentation in order to maximise the digital euro’s potential for innovation. More details will be announced during the first half of 2026.
“We asked market participants to imagine the many opportunities a digital euro could offer consumers and merchants. Their enthusiastic response shows the immense scope for the digital euro to play a transformative role in the European payments landscape,” said ECB Executive Board member Piero Cipollone at Bocconi University in Milan, where the report was presented on Friday at a payments conference attended by several innovation platform participants. “By fostering collaboration and providing a harmonised infrastructure, the digital euro can enhance the payment experience for Europeans, while enabling market participants to develop innovative services and business models.”
The digital euro’s extensive reach would ensure that these innovative ideas are instantly accessible to all consumers and merchants in the euro area, addressing the limitations typically associated with the closed ecosystems of other payment methods.
The ideas explored as part of the innovation platform initiative are still at the experimental stage. The Eurosystem will continue engaging with stakeholders to ensure that the digital euro’s design meets the needs of future users and the market.
The full innovation platform report is available on the ECB’s website.
 
Compliments of the European Central BankThe post ECB Presents Findings from Digital Euro Innovation Platform and Announces Second Round of Experimentation first appeared on European American Chamber of Commerce New York [EACCNY] | Your Partner for Transatlantic Business Resources.

European Commission President Ursula von der Leyen unveiled today a €545 million Team Europe package to accelerate Africa’s clean energy transition. This announcement, made at the Global Citizen Festival via video message in the context of the United Nations General Assembly, is an important milestone in the ‘Scaling Up Renewables in Africa‘ campaign, co-hosted with South African President Cyril Ramaphosa.
This campaign raises global awareness and mobilises public and private investments for clean energy generation and access across Africa.
“The choices Africa makes today are shaping the future of the entire world. A clean energy transition on the continent will create jobs, stability, growth and the delivery of our global climate goals. The European Union, with the Global Gateway investment plan, is fully committed to supporting Africa on its clean energy path” said President von der Leyen.
Africa’s renewable energy potential is huge, yet nearly 600 million people still live without access to electricity. How this clean energy transition unfolds will play a big role in shaping future development, regional stability, and progress on climate change.
Investing now in solar, wind, hydro, and geothermal power is not just a moral and development imperative, it is also a strategic choice that strengthens supply chains, creates up to 38 million green jobs by 2030, and makes energy systems more resilient. Through the Global Gateway investment strategy, the European Union is helping accelerate this transition, delivering major investments in generation, transmission, and cross-border electricity trade, while building stable international partnerships.
An acceleration of clean energy projects across Africa
Today’s €545 million package expands the EU and Team Europe’s clean energy efforts in Africa, with new projects supporting electrification, modernise power grids, and improve access to renewables.
Projects announced include:

Côte d’Ivoire (€359.4 million): A high-voltage transmission line (‘Dorsale Est’) to boost regional energy distribution;
Cameroon (€ 59.1 million): Rural electrification for 687 communities, reaching more than 2.5 million people;
Republic of Congo (€ 3.5 million): Expanding access to renewable energy sources, including solar, wind and hydropower;
Lesotho (€25.9 million): Unlocking wind and hydro energy through the Renewable Lesotho programme;
Ghana (€2 million): Laying the groundwork for a large-scale solar park and regional energy trade;
Central Africa (€3.3 million):

A technical assistance mission to the Central African Power Pool (CAPP), (€1.6 million);
A facility for funding research and infrastructure for the Central African Power Pool (CAPP) (€0.5 million);
A feasibility study for the Friendship Loop (‘Boucle de l’Amitié’), a cross-border transmission line linking Pointe Noire, Brazzaville and Kinshasa (€1.2 million);

Madagascar (€ 33.2 million): Expanding electrification with mini grids in rural areas;
Mozambique (€13 million): Supporting a low-emission energy transition and encouraging private sector involvement;
Somalia (€45.5 million): Increasing access to affordable renewable energy, advancing circular economy practices, and building climate-resilient agri-food systems.

Scaling up Renewables in Africa campaign
The ‘Scaling Up Renewables in Africa’ campaign is carried out with the international advocacy organisation Global Citizen and relies on the policy support of the International Energy Agency. It aims to drive new commitments on policy and finance from governments, financial institutions, the private sector and philanthropists. They are encouraged to pledge capital or provide support such as expertise and technical assistance. The campaign will conclude with a high-level event around the G20 summit in South Africa, on 22-23 November 2025.
The campaign also keeps the momentum more broadly towards the ambitious targets of tripling renewable energy and doubling energy efficiency worldwide, set at COP28.
In early October, the Global Gateway Forum in Brussels will bring together governments, financial institutions, and private sector leaders to provide additional support for Africa’s clean energy transition. This momentum will carry into the G20 Summit in Johannesburg. World leaders and investors will come together to commit to the partnerships and financing needed to power Africa’s renewable future.
 
Compliments of the European CommissionThe post European Commission announces €545 million package to scale up renewables in Africa first appeared on European American Chamber of Commerce New York [EACCNY] | Your Partner for Transatlantic Business Resources.

By: Era Dabla-Norris, Raphael Lam, Francisco Roch
Prudent anchors, corrective mechanisms, and supportive institutions can help countries comply with their fiscal rules and commit to sound public finances
Countries have increasingly adopted fiscal rules and frameworks that aim to give clarity and predictability to government spending. But these rules have not been as effective in keeping deficits and debt within their intended limits. As we show in a new report, about 40 percent of advanced economies and nearly two-thirds of emerging markets exceed their own fiscal limits.
Strong and effective fiscal rules are essential to address mounting challenges confronting countries—from record debt and increasing spending pressures on defense to aging populations and development and social needs. With these challenges, public finances are being stretched thin. Here fiscal rules can help: they lay out numerical limits on spending, deficits, or debt, and act as guardrails to promote discipline and signal commitment to sound public finances.
This is not a new idea. Fiscal rules have been used since the mid-1980s, and their use has increased over the last two decades. Today, more than 120 countries have them, according to the IMF Fiscal Rules and Fiscal Council database, covering 122 economies and 54 fiscal councils.

Our report tracks the evolution of fiscal rules and how countries comply with them. In the early years, we find that rules were too rigid and constrained responses to economic downturns. Greater flexibility was eventually introduced and proved effective, allowing governments to provide necessary support for ailing economies, particularly in severe crises such as the pandemic. However, the severe shocks were a significant test for fiscal rules, with many countries’ deficits and debt exceeding their own limits. More than two-thirds of countries have revised their fiscal rules, often making them more flexible without considerably safeguarding public finances.
Effective guardrails
For fiscal rules to be effective, they must strike a careful balance: they should safeguard fiscal sustainability while leaving adequate room and flexibility for priority spending. Our analysis shows that effective rules need to have several elements: they are based on a clear and appropriate target or fiscal anchor to guide policy; they have a robust way to correct course when spending pressures or adverse shocks put the rules off track; and there are supportive fiscal institutions to guide and support their implementation.
First, a prudent fiscal anchor—for example a debt-to-GDP ratio or a medium-term budget balance target—should be tailored within a risk framework to a country’s debt capacity and exposure to shocks. To be credible, they must be easy to monitor,clearly communicated to the public, and closely linked to annual budgets.
Second, when thresholds are breached, countries need clear procedures to get back on track. Pre-defined triggers, timelines, and policy responses can help return to fiscal rule limits—such as requiring governments to submit fiscal plans or take corrective actions—and restore discipline. Some countries go further, using progressive triggers that activate stricter measures, for example as debt nears critical levels.
This mechanism is not just good policy—it also helps countries lower their financing costs. An analysis of six countries (Armenia, Costa Rica, Cyprus, Czech Republic, Poland, and Slovak Republic) shows that well-designed correction mechanisms helped lower the cost of issuing debt by about 0.3 percentage points within six months and 0.75 percentage points within a year, compared to similar economies without effective fiscal rules.

Third, fiscal rules work best when countries have effective institutions to support and implement them. Specifically, medium-term fiscal frameworks should translate fiscal rules into multi-year plans and align short-term budgetary decisions with long-term debt goals.
Fiscal councils can also act as nonpartisan watchdogs, producing and/or evaluating government forecasts, monitoring compliance, and informing the public about the state of government finances. For example, the fiscal council in the Netherlands assesses government forecasts and evaluates the cost of policy initiatives, while providing valuable information to the public. Our analysis shows that countries with more independent fiscal councils tend to experience smaller deficits and better compliance with rules. The bottom line is this: linking annual budgets with medium-term fiscal frameworks and independent oversight can both strengthen policy credibility and make fiscal rules more effective.
Balancing discipline and spending pressures
Governments are facing increasing and legitimate demands to invest in infrastructure, public services, and economic security. Aging societies will require more spending on healthcare and pensions, and many countries are ramping up defense spending.
Putting in place fiscal rules is not inconsistent with these goals. But careful calibration and design of these rules is very important. Low-debt countries may ease their limits to support growth-enhancing spending as long as their debt remains within debt stabilizing limits. By contrast, high-debt countries need to match any new spending with revenue increases and/or reallocate existing expenditures to avoid adding to fiscal and debt risks.
As these pressures intensify, countries must strengthen—not weaken—their commitment to fiscal discipline and ensure that public finances remain a source of stability, not vulnerability.
 
Compliments of the International Monetary FundThe post IMF | Fiscal Rules Foster Stability as Spending Pressures Grow first appeared on European American Chamber of Commerce New York [EACCNY] | Your Partner for Transatlantic Business Resources.

State launches New Renewable Energy Solicitation
Directive Prioritizes Shovel-Ready Projects Eligible for Federal Tax Credits To Save New Yorkers Money

As part of New York’s all-of-the-above energy strategy, Governor Kathy Hochul today announced a coordinated set of actions to accelerate the deployment and construction of reliable and clean energy across New York State that will help stabilize energy prices. Recognizing the near-term need for power to meet increasing electricity demand as well as economic development needs and the importance of adapting to shifting federal policies, Governor Hochul is launching a new solicitation for renewable energy and directing state agencies to work together to responsibly advance shovel-ready renewable energy projects as quickly as possible. These efforts are designed to support New York ratepayers by using sunsetting federal clean energy tax credits to bring down costs.
“While the federal government takes us backward on energy policy, New York will not be thwarted in its commitment to clean energy. By directing our state agencies to move projects across the finish line, we are seizing every opportunity to leverage federal incentives, reduce costs for ratepayers, and build a more resilient, sustainable and reliable energy grid,” Governor Hochul said. “Together, these actions are expected to unlock billions in private investment, create thousands of good-paying jobs, and build a durable energy economy that benefits New Yorkers for decades to come.”
New York’s current pipeline of large-scale renewable energy is comprised of 102 solar, land-based wind, hydroelectric and offshore wind projects operating and under development that will deliver over 9.7 gigawatts of clean power to the grid when completed – enough energy to power over 3 million New York homes. The development of projects as a result of this solicitation is expected to spur over five billion dollars in clean energy investments and create more than 2,500 family-sustaining jobs in the energy economy across New York.
New York State Energy Research and Development Authority President and CEO Doreen M. Harris said, “New York is all about progress and we are not stopping. We are going to continue building out our energy economy and growing our already robust land-based renewables portfolio. This solicitation will serve as another building block to help ensure a continuous pipeline of viable large-scale projects as part of New York’s versatile clean energy future.”
2025 Land-Based Renewable Energy Solicitation (Tier 1 RFP)
NYSERDA today launched the 2025 Land-Based Renewable Energy Solicitation seeking to procure eligible large-scale wind, solar, and other renewable energy projects to support advancement of clean energy deployment while delivering reliable energy to all New Yorkers.
The solicitation is designed to advance late-stage large-scale renewable energy projects ready to commence construction in New York. It incorporates best practices and lessons learned from prior procurements, including key provisions on component cost indexing, labor provisions, stakeholder engagement requirements, disadvantaged community commitments, and agricultural land preservation to ensure an equitable energy transition that benefits all New Yorkers. To expedite contracting, NYSERDA has also streamlined bid requirements, with full details outlined in the solicitation documents.
The process for submitting proposals into the land-based renewables solicitation will be conducted in two steps:
• Eligibility applications are due on October 21, 2025.
• Final proposals from eligible participants are due on December 4, 2025, by 3 p.m.
For details, please visit the Large-Scale Renewables Solicitation page. Conditional award notifications are expected to be issued to proposers in February 2026, followed by an announcement of selected projects once the awarded contracts have been executed.
Directive to Focus on Projects that May Qualify for Existing Federal Tax Credits
State agencies will intensify efforts to advance shovel-ready renewable energy projects, with a focus on qualifying projects that seek to access existing federal tax credits that will expire. This whole-of-government approach will responsibly streamline permitting, interconnection, financing, and contracting processes to ensure that as many projects as possible reach construction quickly, providing clean power to New York homes and businesses.
New York State Public Service Commission Chair and CEO Rory M. Christian said, “We stand ready to assist our sister agencies in the development of appropriate clean energy projects in New York State. Governor Hochul’s very timely announcement will help ensure a continuous development of renewable energy projects that will help spur the creation of much needed clean energy which will strengthen the reliability of our electric grid while creating good-paying jobs.”
New York State Department of Environmental Conservation Commissioner Amanda Lefton said, “Renewable energy development is one of the most important keys to reducing harmful pollution, generating green jobs, and creating more sustainable communities here in New York and across the country. Governor Hochul’s directive announced today will help further accelerate clean energy momentum already underway by comprehensive policies, programs, and investments that continue to make New York State a national leader in zero-emission energy production. DEC continues to work with our partner agencies to ensure efficient permitting processes that support these efforts.”
State Senator Kevin Parker said, “Accelerating renewable energy projects is critical to ensuring New York families have access to clean, affordable, and reliable power when they need it most. Every day we move forward means more jobs created, more communities protected from rising costs, and more progress toward a healthier environment. While uncertainty in Washington threatens to slow the clean energy transition, New York is proving that we will not wait we will lead. I remain committed to making sure our state continues to deliver for working families and disadvantaged communities, advancing projects that strengthen our energy future and our economy.”
Assemblymember Deborah Glick said, “Thank you, Governor Hochul, for recognizing that New Yorkers need an expanded grid with reliable, clean energy and lower costs. With our current federal government working hand in glove with the fossil fuel industry, it is important for New York to fully utilize the remaining federal tax credits to realize as many renewable energy projects as possible. This will not only be better for the environment, but will provide cleaner, more reliable, and less expensive energy and reduce our reliance on the more volatile and polluting fossil fuel industry.”
State Senator Peter Harckham said, “This is exactly the kind of forward-thinking climate action New York needs. Renewable energy projects are a major economic opportunity waiting to be unlocked. Expediting the Land-Based Tier 1 Renewable Energy Solicitation will mean more good-paying jobs for New Yorkers, lower utility bills for ratepayers and cleaner air for all. Thank you to Governor Hochul and NYSERDA for moving this critical work forward.”
New York League of Conservation Voters President Julie Tighe said, “While the federal government retreats, New York continues to march forward with reliable, affordable clean energy. NYSERDA’s plan to accelerate the construction and deployment of renewables is a critical step forward that will cut pollution, create good-paying jobs, and make our communities healthier and our grid more resilient. We applaud Governor Hochul for prioritizing the clean energy transition and showing the country what strong state leadership looks like.”
New York State AFL-CIO President Mario Cilento said, “Today’s announcement marks another significant step toward ensuring energy reliability and moving us closer to achieving New York’s renewable energy goals. We look forward to continuing to work with NYSERDA to ensure these projects adhere to robust labor standards and protections, creating pathways to solid union careers as we continue to advance toward a clean energy future.”
New York State Building Trades President Gary LaBarbera said, “The continued advancement of clean energy development in New York State represents significant progress in establishing our green economy and the good paying union careers that come with it. The deployment of these projects will not only help us reach our standard-setting climate goals and deliver reliable clean energy to all New Yorkers, but it will also open up countless opportunities for hardworking people to pursue the middle class and support their families. We applaud NYSERDA for their ongoing work to streamline these crucial energy initiatives and look forward to our continued collaboration in pushing these projects forward.”
Alliance for Clean Energy New York Executive Director Marguerite Wells said, “Wind and solar projects are ready to meet the moment and provide affordable power to New Yorkers. We applaud Gov. Hochul for advancing these clean energy technologies at a time when we need them most. Against a backdrop of rising costs and the ever-present realities of climate change, renewables can revitalize upstate economies, provide much-needed power, and do so in an efficient and cost-effective manner.”
Natural Resources Defense Council Managing Director of Power Kit Kennedy said, “Building clean energy projects quickly and fairly is crucial for cutting electricity costs and creating quality jobs for New Yorkers. Every action that New York State takes to speed up renewable energy deployment helps achieve these goals. With the federal government in full retreat and denial, New York’s climate leadership is more important than ever.”
New York Solar Energy Industries Association Executive Director Noah Ginsburg said, “As the federal government eliminates support for affordable clean energy, states need to act quickly to protect electric ratepayers and the clean energy workforce. New York Solar Energy Industries Association (NYSEIA) applauds Governor Hochul for taking action to accelerate renewable energy project development and construction. These actions will ensure that New York leverages federal funding for clean energy projects today while setting the stage for cost-effective permitting and interconnection tomorrow.”
Advanced Energy United New York Policy Lead Kristina Persaud said, “We commend Governor Hochul for delivering clean, reliable, and affordable energy to New Yorkers. Large-scale renewable projects don’t just keep energy costs in check—they also strengthen our electric grid and create good jobs across the state. This procurement keeps New York on track to meet our nation-leading clean energy targets and reaffirms the Empire State’s commitment to building a clean, affordable energy future.”
For more than fifty years, NYSERDA has been a trusted and objective resource for New Yorkers, taking on the critical role of energy planning and policy analysis, along with making investments that drive New York toward a more sustainable future. The launch of this solicitation continues to fuel the advancement of innovative technologies and solutions that will benefit New York residents as well as businesses.
New York State’s Climate Agenda
New York State’s climate agenda calls for an affordable and just transition to a clean energy economy that creates family-sustaining jobs, promotes economic growth through green investments, and directs a minimum of 35 percent of the benefits to disadvantaged communities. New York is advancing a suite of efforts to achieve an emissions-free economy by 2050, including in the energy, buildings, transportation, and waste sectors.
 

Compliments of the New York State Governor’s Office

The post New York State Governor | Governor Hochul Directs State Agencies to Accelerate Renewable Energy Development and Construction first appeared on European American Chamber of Commerce New York [EACCNY] | Your Partner for Transatlantic Business Resources.

By Claudia Mann

Good statistics are accurate, timely, consistent and comparable. Only then can they be the unbiased reality check needed for responsible decision-making. The ECB blog looks back at past mistakes and what Europe has learned from them.

We are often asked: how independent are European statistics, really? Following recent international headlines, this question has gained new momentum. To answer it, let me take you back to Europe’s own “deficit drama” in statistics, explain how it was resolved, and illustrate how the governance we now have in place is a rock-solid safeguard for accountability, markets and policymaking.
From deficit revisions to stronger statistics
The credibility of European statistics came under scrutiny in 2009 when Greece revised its government deficit statistics sharply upwards. This was not just a fiscal matter – it highlighted the broader challenges involved in ensuring trust in official numbers.
“Στέργει γὰρ οὐδεὶς ἄγγελον κακῶν ἐπῶν”(Nobody likes the man who brings bad news), Antigone 276-277, Sophocles
The European response was substantial: to maintain trust, European legislation gave Eurostat – the statistical office of the Union – and the national statistical offices stronger verification powers in 2010. Eurostat also received mandatory access to government accounts, the right to carry out on-site inspections, and new laws strengthened sanctions for misreporting. Today, there is full transparency concerning the real magnitude of government spending – or, as the saying goes, we now call a spade a spade.
However, subsequent legal proceedings initiated in 2010 by the Greek judicial authorities against Andreas Georgiou, then head of the Hellenic Statistical Authority (ELSTAT), drew wide international attention. He was accused of allegedly conspiring to artificially inflate the 2009 government deficit figures while these numbers were validated by Eurostat. These legal proceedings were widely considered to have a substantial political context.[1] This case was one reason for the reinforcement of statistical independence through the regulation on the European Statistical System partnership in 2015.[2] The new law not only clarified Eurostat’s coordination role, but also explicitly strengthened the call for national statistical authorities and their heads to be professionally independent. Notably, it brought in safeguards to ensure that appointments and dismissals are transparent and based only on professional criteria.
Two systems, one culture of quality
Before discussing more lessons on good statistics, let’s take a look at the architecture of public statistics in Europe. European official statistics are produced by two systems: the European Statistical System (ESS), composed of Eurostat and the national statistical offices, and the European System of Central Banks (ESCB), made up of the ECB and the national central banks. Central banks often compile balance of payments statistics, financial accounts and government debt data. Statistical offices compile figures on inflation, GDP and the government deficit.
These two systems work under different laws and structures. Yet cooperation runs deep – from working groups to high-level committees – and the methods, processes and results are highly transparent. To guarantee trust, the ESCB follows its own Public Commitment on European Statistics[3], which is equivalent to the Code of Practice adopted by the ESS[4]. Both ensure that statisticians – be it in the central banks or statistical institutes – work under identical principles of independence, soundness and quality.
Figure 1

Two statistical systems working closely together in multilateral settings such as the Committee on Monetary, Financial and Balance of Payments Statistics (CMFB)

Source: ECB.

Certainly, our governance is complex, multilateral and sometimes feels intrusive. This, however, is a strength. Our thinking is exposed to many stakeholders early on. So, any attempt at manipulation would not only be unlawful – it would be practically impossible. A bit like trying to make fake honey in front of an entire beekeeping club – too many people would notice. And once exposed, your reputation would be damaged beyond repair.
HICP: a solid, independent benchmark
But why are we so keen to have reliable statistics in the first place? To showcase this, let’s take a closer look at one of the cornerstones of statistics, where figures which are essential for monetary policy are compiled outside of the bank. The HICP (Harmonised Index of Consumer Prices) is the official measure of inflation in the euro area, showing how the average prices of goods and services bought by households change over time. It is compiled by Eurostat and the national statistical offices. The diverse sample behind the HICP takes into account what we buy, how much, and where we do that, be it in a supermarket or an online shop. The index reflects realistic consumption patterns estimated from national accounts, household budget surveys and transaction data. To ensure its accuracy, these weights are updated annually. To reflect what consumers actually pay, the HICP also includes taxes and discounts. For this, each month millions of individual prices are collected to calculate the EU HICP from all Member States, thereby ensuring a robust and representative outcome. It is also one of our most timely indicators: we already have the euro area (and EU) flash estimate for the reference month on the last day of the month or shortly thereafter. This provides policymakers with crucial real-time information which is fundamental for their decisions.
Though essential for its policy, the ECB (ESCB) does not calculate the HICP. That is the exclusive responsibility of the ESS – and rightly so. We use the data as a core reference indicator; we are not the calculator. This separation gives assurance to markets, the public and policymakers that the methodology behind the inflation measure guiding monetary policy is not influenced by the central bank.
Chart 1

Development of the Harmonised Index of Consumer Prices in the euro area

Left-hand scale: HICP monthly index with reference baseline 2015=100; right-hand scale: year-on-year rate of change in percentage.

Source: Eurostat.

For another tangible example, consider the €STR, the euro short-term rate, which replaced EONIA as part of the global reforms that followed the LIBOR manipulation scandals. The LIBOR case showed how fragile benchmark interest rates can be, as they often rely only on price quotes and not on actual transactions or a sufficient number of transactions. The global response of public authorities to the LIBOR manipulation led to a shift towards more robust rates, based on real trades with stronger methodology and governance. In the euro area the newly developed €STR benchmark rate replaced EONIA.
EONIA was an overnight transaction-based lending rate administered by the European Money Markets Institute (EMMI), a private benchmark provider. With the application of the EU Benchmarks Regulation[5], it no longer complied with the new standards – mainly because of the lack of sufficient underlying transactions and the high concentration of contributions. The ESCB therefore developed the €STR, which reflects the wholesale euro unsecured overnight borrowing costs of banks located in the euro area, and entrusted its production to the ESCB’s statistical function, building on its solid reputation.
Since 2 October 2019 the €STR has been published Monday through Friday at 08:00, based on transactions from the previous day. It is a major achievement, building on our long-term investments in daily micro data collections. The daily collection of money market data is more than a technical exercise: it supports the analysis of euro money markets and monetary policy transmission, provides early signals of potential fragmentation and reveals market expectations. This again is crucial information for those who decide on monetary policy.
Chart 2

Evolution of €STR rates since its introduction

Source: ECB.

What makes for good statistics?
As the HICP and the €STR show, good statistics are accurate, timely, consistent and comparable. And, above all, they can be put to use where they are needed. For this, statistics need to be reliable.
The independence of statisticians and statistical offices from direct political or market pressure is one precondition for good statistics, and in the case of central banks, this independence is firmly safeguarded too. Equally important are transparent and robust statistical processes, which allow for sources and methods to be scrutinised, as illustrated by the ECB’s annual methodology reviews for the €STR. Finally, sound quality management ensures that errors are corrected, and improvements are made when necessary. This is why in the above-mentioned reviews we maintain a dedicated transparency page on errors.[6]
Statistics are a pillar of accountability
Independent statistics are not an academic concern. They are a pillar of accountability and effective policy. Without appropriate governance to ensure their relevance and quality, markets and people cannot trust the figures on which their choices depend.
Thanks to the rules we have in place – from the Treaty to the Code of Practice – and thanks to our deeply rooted culture of multilateral cooperation, policymakers, market participants and journalists can be confident that European statistics are compiled to the highest standards, free from interference or meddling. That trust is indispensable for our work and for Europe’s success.
The views expressed in each blog entry are those of the author(s) and do not necessarily represent the views of the European Central Bank and the Eurosystem.
Check out The ECB Blog and subscribe for future posts.
For topics relating to banking supervision, why not have a look at The Supervision Blog?

OPINION of the European Statistical Governance Advisory Board (ESGAB), concerning professional statistical independence and staffing resources in the Hellenic Statistical Authority (ELSTAT).
Regulation (EU) 2015/759 of the European Parliament and of the Council of 29 April 2015 amending Regulation (EC) No 223/2009 on European statistics.
Public commitment on European statistics by the ESCB.
European Statistics Code of Practice.
Regulation (EU) 2016/1011 of the European Parliament and of the Council of 8 June 2016 on indices used as benchmarks in financial instruments and financial contracts or to measure the performance of investment funds and amending Directives 2008/48/EC and 2014/17/EU and Regulation (EU) No 596/2014.
See the €STR Transparency on errors page on the ECB’s website.

 
Compliments of the European Central BankThe post ECB | Don’t blame the herald: statistical independence is indispensable first appeared on European American Chamber of Commerce New York [EACCNY] | Your Partner for Transatlantic Business Resources.

The European Commission is taking action against several EU Member States that have failed to notify the Commission of measures they have adopted to transpose EU Directives into their national laws. The deadline to transpose these Directives has expired recently. The Commission is sending a letter of formal notice to these Member States, giving them two months to reply and complete the transposition of the Directives. If they fail to do so, the Commission may pass to a next step and issue a reasoned opinion. The Member States in question have failed to fully transpose four EU directives related to financial stability, home affairs and health. The Commission is urging them to take immediate action to bring their laws in line with EU requirements.
Commission calls on Member States to ensure comprehensive access to information of beneficial ownership to prevent money laundering and terrorist financing
The European Commission decided to open infringement procedures by sending a letter of formal notice to Belgium, Denmark, Germany, Estonia, Greece, Italy, Cyprus, Croatia, Poland, Slovakia and Sweden for failing to fully notify national measures transposing the 6th Anti-Money Laundering Directive (Directive (EU) 2024/1640) to guarantee comprehensive access to information of beneficial ownership of legal entities, trusts or similar arrangements. The 6th AML Directive mainly deals with organisational and institutional issues of the anti-money laundering and countering the finance of terrorism preventive framework, which are addressed respectively to the Member States, their supervisory authorities, and Financial Intelligence Units. The provisions of the Directive must be transposed by different dates. In general, Member States must transpose the major part of the Directive by 10 July 2027, when the 4th Anti-Money Laundering Directive as amended by the fifth one (Directive (EU) 2015/849) will be repealed. By the first deadline, 10 July 2025, Member States had to guarantee comprehensive access to information of beneficial ownership of legal entities, trusts or similar arrangements (including access by persons with a legitimate interest). To date, 11 Member States have not declared full transposition by this first legal deadline. The gradual implementation of the 6th Anti-Money Laundering Directive is key to preventing any vulnerabilities of their financial systems and ensuring that all Member States consistently and effectively uphold their anti-money laundering standards. The Commission is therefore sending letters of formal notice to Belgium, Denmark, Germany, Estonia, Greece, Italy, Cyprus, Croatia, Poland, Slovakia and Sweden, which now have two months to complete their transposition and notify their measures to the Commission. In the absence of a satisfactory response, the Commission may decide to issue a reasoned opinion.
Commission calls on Member States to fully transpose the European Single Access Point (ESAP) Omnibus Directive to ensure investors’ access to corporate public information 
The European Commission decided to open infringement procedures by sending a letter of formal notice to Bulgaria, Estonia, Spain, France, Croatia, Italy, Latvia, Lithuania, the Netherlands,  Austria, Portugal, Poland, Romania, Slovenia and Sweden for failing to fully transpose the European Single Access Point (ESAP) Omnibus Directive (Directive EU 2023/2864) in relation to the changes introduced in the Transparency Directive (Directive 2004/109/EC). The ESAP Omnibus Directive is part of the ESAP legislative package that facilitates the creation of a centralised mechanism offering easily accessible, comparable and usable public information to investors and other stakeholders. The legislative package foresees three phases of ESAP development. The first phase will begin in July 2026 when the information published according to the Transparency Directive, as well as to Regulation (EU) 2017/1129 (Prospectus Regulation) and Regulation (EU) No 236/2012 (Short Selling Regulation) will start to be submitted to the national competent authorities for the purpose of making it available on ESAP. For that first step, Member States had to transpose the changes introduced in the Transparency Directive by 10 July 2025. The Commission is therefore sending letters of formal notice to  Bulgaria, Estonia, Spain, France, Croatia, Italy, Latvia, Lithuania, the Netherlands,  Austria, Portugal, Poland, Romania, Slovenia and Sweden, which now have two months to complete their transposition and notify their measures to the Commission. In the absence of a satisfactory response, the Commission may decide to issue a reasoned opinion.
Commission calls on Member States to fully transpose the new rules as regards the minimum depth of markings on firearms and essential components
The European Commission decided to open infringement procedures by sending a letter of formal notice to five Member States (Bulgaria, Czechia, Poland, Portugal and Finland) for failing to notify national measures  transposing the Commission Implementing Directive (EU) 2024/325. Member States had to transpose the Implementing Directive into national law and to notify the measures to the Commission by 22 July 2025. The act amends Commission Implementing Directive 2019/68 and establishes a new rule regarding the minimum depth of markings of firearms and essential components to be 0.08mm. The technical requirement is added to the existing standards of the current Implementing Act, which does not specify a minimum depth of markings. A minimum depth at EU level ensures a level playing field for producers and facilitates trade in the internal market. The minimum depth set also corresponds with the standards applicable in the most important markets in third countries, ensuring compatibility for the export of firearms. Marking ensures traceability of firearms and is key to the safety and security of EU citizens. The Commission is therefore sending letters of formal notice to the five Member States concerned. They will have two months to complete their transposition and notify their measures to the Commission. In the absence of a satisfactory response, the Commission may decide to issue a reasoned opinion.
Commission calls on Member States to fully transpose the Directive to ensure harmonisation in the area of plant health
The European Commission decided to open infringement procedures by sending letters of formal notice to Denmark, Cyprus, Luxembourg, Malta, Austria and Slovakia for failing to fully transpose Commission Directive (EU) 2025/145 as regards the listing of pests of plants on fruit plant propagating material and fruit plants intended for fruit production. Member States had to transpose this Directive into national law by 31 July 2025. The Directive aims to align the rules for marketing fruit plant material and fruit plants for production with plant health rules. Full implementation of the legislation is key to continuing harmonisation among all Member States in the area of plant health. The Commission is therefore sending letters of formal notice to Denmark, Cyprus, Luxembourg, Malta, Austria and Slovakia, which now have two months to complete their transposition and notify their measures to the Commission. In the absence of a satisfactory response, the Commission may decide to issue a reasoned opinion. 
 
Compliments of the European CommissionThe post European Commission | EU takes action to ensure complete and timely transposition of EU directives first appeared on European American Chamber of Commerce New York [EACCNY] | Your Partner for Transatlantic Business Resources.

Member states’ representatives (Coreper) approved today the Council’s positions on several Commission proposals which form part of the so-called ‘Omnibus IV’ legislative package and contain two main elements:
• two proposals (directive and regulation) on digitalisation and common specifications aiming to digitalise existing physical requirements by implementing the ‘digital by default’ principle and introduce a procedure for the Commission to draw up common specifications in a number of legal acts, and
• two proposals (directive and regulation) aiming to extend certain mitigation and support measures available for small and medium enterprises (SMEs) to companies that have outgrown the SME definition, the so-called small mid-cap enterprises (SMCs)
“Too many European companies spend too much time navigating complex rules. With today’s agreement, we take an important step to change that. Whether it’s simplifying digital documentation or helping small businesses grow, this is about building a more competitive Europe. There is more work ahead – but these agreements show that simplification is no longer just a promise, it’s now a practice.”
Marie Bjerre, Minister for European affairs of Denmark
“With this agreement, we are showing the way towards a more digital Europe with fewer burdens for our businesses. This is absolutely crucial for Europe’s future in a world where countries like the USA and China are pulling ahead. By harnessing the potential of technology, we can remove very concrete burdens for our companies. At the same time, we are showing flexibility towards businesses that have grown large but should become even larger and create the solutions of the future here in Europe.”
Morten Bødskov, Minister for Industry, Business and Financial Affairs
Objectives of the proposals
On digitalisation and common specifications, the proposals aim to amend 20 pieces of EU product legislation under single market rules on digitalisation and common specifications.
They follow up on a broader strategy to prioritise digital formats with the aim of eliminating paper-based requirements in product legislation. In particular, the proposal foresees the digitalisation of the EU declaration of conformity, as well as the exchanges between competent national authorities and economic operators.
The proposal additionally gives the possibility for manufacturers to provide instructions for use to users in digital format instead of paper. Furthermore, the proposal introduces alternative solutions to prove the compliance of a product with EU rules via ‘a common specification’ in situations where harmonised standards are not available. This will offer more legal certainty, reduce costs, and increase competitiveness.
On small mid-cap enterprises, the main objective is to extend certain mitigation and supporting measures available for SMEs to companies that have outgrown the SME definition. These companies are considered to play a vital role in the EU economy, providing 6% of overall employment and are prominently present in key EU competitiveness sectors, such as electronics, aerospace and defence, energy, energy-intensive industries and health. Defining a new category of small mid-cap companies should help to:
• avoid a cliff-edge and enable smooth transition of SMEs into SMCs
• allow SMCs to keep the same beneficial environment as when they were SMEs
• give better incentives to SMEs to scale up
Main elements of the Council’s amendments
On SMCs, the original Commission proposal identifies this new category of companies as enterprises with fewer than 750 employees and either up to €150 million in turnover or up to €129 million in annual balance sheet total. In its mandate, the Council raised these thresholds to enterprises with fewer than 1000 employees and either an annual turnover of up to €200 million or up to €172 million in annual balance sheet total.
On digitalisation and common specifications, the Council has broadly retained the thrust of the Commission proposals, while amending several technical elements specific to the respective legislative acts.
The Council has also introduced further clarifications regarding the access to digitally available information and to a company’s ‘digital contact’. The text also ensures that, in cases where there is a risk of serious harm to consumers, safety information is always available in paper form.
The Council aligned the texts on common specifications with the approach agreed in the ‘Toy Safety’ regulation (Article 14) earlier this year. The text clarifies that the common specifications should only serve as a fallback option when harmonised standards are not available or insufficient, hence promoting coherence across the EU acquis.
Finally, the Council has extended the transposition deadlines of the directive to 24 months to give member states sufficient time to implement the amendments.
Next steps
Following today’s approval of the Council’s negotiating mandates by Coreper, the presidency will start negotiation with the European Parliament as soon as possible to reach a final agreement.
Background
In October 2024, the European Council called on all EU institutions, member states and stakeholders, as a matter of priority, to take work forward, notably in response to the challenges identified in the reports by Enrico Letta (‘Much more than a market’) and Mario Draghi (‘The future of European competitiveness’).  The Budapest declaration of 8 November 2024 subsequently called for ‘launching a simplification revolution’, by ensuring a clear, simple and smart regulatory framework for businesses and drastically reducing administrative, regulatory and reporting burdens, in particular for SMEs. Between 26 February and 9 July 2025, as a follow-up to EU leaders’ call, the Commission put forward six ‘Omnibus’ packages, aiming to simplify existing legislation on sustainability, investment, agriculture, small mid-caps enterprises, digitalisation and common specifications, defence readiness and chemical products.
On 21 May 2025, the Commission adopted its fourth Omnibus package. The package contains a proposal for a directive and for a regulation on mid-caps, a proposal for a directive and a regulation as regards the digitalisation and alignment of common specifications amending 20 pieces of EU product legislation under single market rules, as well as an amendment of the regulation on batteries regarding the due diligence requirements. The regulation and directive on mid-caps amend a total of 8 existing pieces of legislation: the general data protection regulation (GDPR), the anti-dumping regulation, the anti-subsidies regulation, the prospectus regulation, the batteries regulation, the F-gases regulation, the markets in financial instruments directive (MiFID) and the critical entities resilience directive.
 
Compliments of the Council of the European UnionThe post Council of the EU | Simplification: Council agrees positions on digitalisation and common specifications, as well as on small mid-caps, to boost EU competitiveness first appeared on European American Chamber of Commerce New York [EACCNY] | Your Partner for Transatlantic Business Resources.