Federal Reserve Appointee of the United States. President Donald Trump, Stephen Miran, has been questioned on whether he would be influenced by the Trump administration on the Fed's Board of Governors.
The Senate Banking Committee held a hearing recently to consider Miran’s nomination to fill a vacant spot on the Fed’s Board of Governors.
Both Democratic and Republican senators undoubtedly agreed that the Fed’s decisions on interest rates should remain independent of political affiliation.
At various points, Miran agreed with the sentiment, stating that central bank independence “is critical to the well functioning of the economy and financial markets”.
However, Democrats questioned his ability to distance himself from Trump as Miran admitted he plans to technically remain an employee of the White House if he becomes a Fed governor on a temporary basis.
“You are going to be technically an employee of the President of the United States, but an independent member of the board of the Federal Reserve. That’s ridiculous,” Democratic Sen. Jack Reed of Rhode Island said.
At the two-hour and 20-minute hearing, Miran repeatedly promised to preserve the Fed’s independence and make decisions based on what’s best for the economy long term, despite thinking “the president has had a series of excellent calls on monetary policy”.
“I'm always happy to hear views from every source possible...to challenge my own views and interrogate them," he said.
This comes as the Trump administration attacks the Fed and its independence, demanding lower interest rates and attempting to fire a Joe Biden appointee to the Fed’s Board of Governors, Lisa Cook.
This also comes just before the next time the Fed meets to set policy on 16 and 17 September.
If successful, Miran would serve out the rest of Adriana Kugler’s term, which expires on 31 January 2026.
