Stephen Miran, the candidate of US President Donald Trump as chairman of the Council for Economic Advisor, sits on the day on which he is saying during a hearing to confirm the Senate banks, housing construction and the city affairs at the Capitol Hill in Washington, US -Am 27 February 2025.
Annabelle Gordon | Reuters
Stephen Miran, President Donald Trump's candidate for the role of the Open Federal Reserve Governor, swore to maintain the independence of the central bank and her double mandate – price stability and maximum employment.
“In my opinion, the most important task of the central bank is to prevent depression and hyperinflation. The independence of monetary policy is a critical element for his success,” said Miran in his opening speeches, which were brought up to the Senate banking committee in advance.
The Senate banking committee will hold a hearing to Miran's confirmation on Thursday morning. The chairman of the municipal council for economic advisors and a close advisor from Trump are to fill the last months of an term that was unexpectedly left by the Fed Guerverneur Adriana Kugler. The candidate will issue Kugler's term of office, which expires on January 31, 2026. The Fed will decide next to the tariffs on September 17th.
Miran's appointment comes in the middle of speculation that Trump would try to name a “shadow chair”, the task of which would be mainly to act as a gadfly on the board. Trump said the candidate for the Kugler seat was more temporary than a permanent replacement for Powell.
The President has pushed for greatly lower credit costs. Miran criticized the Fed in the past and in particular took problems with her aggressive stimulus during the Covid crisis.
“If this is confirmed, I plan to fulfill my role according to the mandates assigned by the congress. My opinions and decisions will be based on my analysis of macroeconomics and the best for his long -term administration,” said Miran. “The Federal Open Market Committee is an independent group with a monumental task, and I intend to preserve this independence and to serve the American people to the best of our strength.”
But Miran also asked some questions about the monitoring of the FED with regard to her activities outside of this double mandate, including the balance of the central bank.
“The FED supervises the most important global financial institutions. It determines different cash prizes for borrowers and lenders, including other central banks. The final composition of the Fed balance sheet is an open question,” he said in the explanation.