Photo: Alamy
President Donald Trump on Tuesday called for Federal Reserve Chairman Jerome Powell to resign if he misled lawmakers during recent testimony about a costly renovation of the central bank’s Washington headquarters.
Speaking during a Cabinet meeting, Trump voiced support for a congressional investigation into Powell, whom he has repeatedly criticized for refusing to lower interest rates. The president’s remarks follow ongoing controversy over rising renovation costs at the Fed’s main building and concerns raised by Republican lawmakers.
“If he misled Congress, Powell should resign,” Trump said.
During a Senate Banking Committee hearing last week, Sen. Tim Scott, R-S.C., questioned Powell over reports that the central bank had turned its headquarters into a lavish facility akin to the Palace of Versailles. Powell denied the allegations.
The Federal Reserve’s renovation project, initially estimated at $1.9 billion, has increased in cost by about 30 percent, according to a report from The New York Post.
Trump, who nominated Powell to lead the Federal Reserve in 2017, has stepped up his criticism in recent weeks. In a Truth Social post last week, he shared a Bloomberg headline that read, “Fed Chair Should Be Investigated by Congress, FHSA Head Says,” and called again for Powell’s resignation.
“Powell and the Federal Reserve should be ashamed of themselves,” Trump wrote. “They have one of the easiest, yet most prestigious, jobs in America, and they have failed — and continue to do so.”
Trump blamed the Fed for keeping interest rates too high, arguing that the U.S. could be saving trillions of dollars if borrowing costs were lower.
“If they were doing their job properly, our country would be saving trillions of dollars in interest cost,” Trump said. “The board just sits there and watches, so they are equally to blame. We should be paying 1% interest, or better!”
Powell’s current term as chair of the Federal Reserve runs through May 2026. Trump has continued to call for Powell to drop interest rates, criticizing his failure to do so and claiming that it has cost America billions of dollars.