Around half the Maltese people would be on board with the introduction of a digital version of the euro, though the vast majority are unaware of it, according to a survey carried out by the Central Bank.
The digital euro is a concept currently being explored by the European Central Bank. It would be a digital currency issued by the ECB, an electronic equivalent to cash. It would not replace cash but exist alongside it.
According to a survey conducted last November, 85 per cent of the 1,178 people surveyed were unaware of the digital euro. Males were slightly more aware than females.
However, half of respondents believed it would be beneficial to have the digital euro in addition to banknotes and coins, while almost a third saw no benefit. The number of people who believe it to be of benefit decreases with age.
Almost three-quarters of those who saw benefits from using the digital euro and those who replied that they did not know whether it would be beneficial would be willing to use the digital euro, with a few even indicating that they would use it as the only means of payment.
The Southern Eastern district was the least eager to make the switch to the digital euro, while the Southern Harbour would be most willing to do so.
Around 70 per cent of respondents thought the digital euro would facilitate payments in retail shops, online, and between people, with the second most popular response being that it would be more secure against loss and fraud than cash.
Meanwhile, almost 70 per cent of those not willing to use the digital euro still prefer using cash, with such replies increasing with the age of respondents.
Around 28 per cent of those not willing to use the digital euro indicated that they prefer commercial bank cards, though such replies decrease with the age of respondents.
Only nine per cent of those not willing to use the digital euro indicated that this was due to privacy concerns.
"There are clear benefits from the digital euro to the public, businesses, domestic banks and payment service providers, as well as to Malta and the Euro Area to strengthen their strategic autonomy, especially in times of heightened global trade and geo-political fragmentation. In the coming months, the Central Bank of Malta will be stepping up its efforts to increase such awareness," the bank said.
The consultation process on the legislative proposal of the digital euro is still ongoing, which means that the final design of the currency could differ in some aspects from the legislative proposal of the European Commission published in June 2023.