WASHINGTON: Donald Trump’s pick to join the Federal Reserve’s board of governors pledged Thursday to uphold US central bank independence if confirmed, as the institution faces growing political pressure from the president to slash interest rates.
“The Federal Open Market Committee is an independent group with a monumental task, and I intend to preserve that independence,” Stephen Miran, who chairs the White House Council of Economic Advisors, told senators at his confirmation hearing.
Miran added in opening remarks that the most important job of the central bank is to prevent depressions and hyperinflation.
“Independence of monetary policy is a critical element for its success,” he said.
He added that his opinions and decisions will be driven by his analysis of the macroeconomy.
‘Critical’ to stay independent of politics: Fed official
Trump nominated Miran to the Fed’s board to finish out the term of Adriana Kugler, an appointee of former president Joe Biden who announced her resignation recently.
The personnel shift came as the Fed faces intensifying pressure under the US president, who has repeatedly lashed out at Fed Chair Jerome Powell for not cutting rates sooner.
Trump has also moved to fire another Fed governor, Lisa Cook, who has since embarked on a legal battle to remain in her position.
American Dollar Exchange Rate