Chicago Fed President hopes to keep US central bank’s independence from political influence

In an interview with CBS, Chicago Fed President Austan Goolsbee expressed hope that the main US financial institution will retain its independence in monetary policy decisions. He noted that countries where the central bank's actions are dictated by the government tend to experience worse inflation, economic growth, and employment rates than those avoiding such an approach.

The topic discussed in the interview stemmed from the US President's recent harsh statements toward Fed Chair Jerome Powell. Trump was dissatisfied with the regulator's policy strategy and expressed his desire to replace the current head of the central bank, whom he considered not competent enough.

Many officials, including Chicago Fed President Austan Goolsbee, interpreted Donald Trump's words as a potential threat to the central bank's independence from political influence.