Shaping Europe's Financial Future

You recently joined the European Forum Alpbach as Chair for the Finance and Economy Track. With its legacy of strengthening Europe for 80 years, what do you hope to achieve at this year’s Forum?

It is a great honour for me to lead the Finance and Economy Track of the European Forum Alpbach. My goal is to promote the exchange between business, politics, and academia to develop innovative solutions for Europe's challenges. As a central banker, I naturally have a special focus on our financial markets. Here I see great potential for increased European cooperation and the strengthening of European sovereignty.

The annual theme 'Recharge Europe' calls for a bold and forward-looking vision for the continent. What does your personal vision for Europe look like?

My vision for Europe is a politically united and economically strong alliance that asserts its significant role in times of increasing geopolitical tensions. I envision a Europe that consistently leverages its economic and cultural diversity to develop smart solutions for the most pressing challenges of our time, particularly regarding digitalization, deglobalization, and the necessity for decarbonization.

You are a strong advocate for the digital euro. Why do you believe it is essential for Europe’s independence and innovation?

The digital euro would be a pan-European payment solution under European leadership for the euro area as a whole. In order to be able to pay in all European countries, consumers currently have to rely on the services of a few non-European providers. The digital euro could therefore help to reduce Europe’s dependence on non-European private payment service providers and would make the European payment landscape more competitive and innovative. With a successful digital euro, Europe could take a leading role at the international level in digital finance and among central bank digital currencies.

What skills will be most important for young Europeans shaping the continent’s future?

For Europe’s future, digital skills, intercultural communication, as well as critical and creative thinking are essential. Additionally, a solid understanding of economic principles is indispensable for making informed decisions in economic matters. Furthermore, young Europeans should have an understanding of sustainable development and ethical principles in order to act responsibly and with a forward-looking mindset.

If you had to summarize Europe’s economic outlook in one word, what would it be?

"Resilient". In Europe we are very well equipped to overcome current and future challenges. Political cooperation, strong institutions, a diversified economy, and stable financial markets, together with reliable social and healthcare systems, form a solid foundation for stable and sustainable growth.

Burkhard Balzhas served on the Bundesbank’s Executive Board since September 2018 and is responsible for the Directorates General Payments and Settlement Systems, Cash Management, Digital Euro and International Central Bank Dialogue. He is a member of the Eurosystem High-Level Task Force on central bank digital currency. Mr Balz is also a Member of the Committee on Payments and Market Infrastructures of the Bank for International Settlements. Since January 2024 he is alternate member of the Board of Directors of the Bank for International Settlements.

From 2009 up until joining the Deutsche Bundesbank, Mr Balz was a Member of the European Parliament, where he sat on the Committee on Economic and Monetary Affairs and served as the financial policy spokesman of the European People’s Party (EPP) between 2014 and 2018.