Federal Reserve Chair, Powell, Says He’ll Refuse to Step Down if Trump Asks

Femi Ashekun/

Federal Reserve Chair, Jerome Powell, has declared that he wouldn’t resign if President-elect Donald Trump asked him to leave his post early.

Powell, whose term as chair runs until 2026, made the statement during a press conference, today, following a quarter-point interest rate cut.

He also noted that it’s “not permitted under the law” for any president to fire one of the Fed’s seven governors.

Powell’s remarks come amid Trump’s sharp criticism of the Fed, accusing Powell of favouring Democrats during the campaign.

Trump, who originally appointed Powell as Fed chair, has suggested he’d replace him when his term ends and has expressed a desire to influence Fed interest rate decisions, although such control isn’t allowed by law.

Federal Reserve governors, including the chair, are appointed by the president and confirmed by the Senate to serve up to 14 years.

Powell has the option to stay on as a governor until 2028 if he steps down as chair, ensuring he could still impact the Fed’s future policy direction even if removed as its head.