[ECB Governing Council Member Villeroy Warns: Attacking the Fed's Independence is Both Illegal and Threatens Democratic Institutions]
According to a report by Jinse Finance, ECB Governing Council member and Governor of the Bank of France, François Villeroy de Galhau, has joined the ranks of global policymakers in warning against the White House's attacks on the Federal Reserve. Speaking in Vienna, he stated: 'We Europeans must defend the independence of central banks in response to the significant regression caused by the Trump administration.'
Villeroy remarked: 'Independence is not an obstacle to achieving reasonable low interest rates. On the contrary, it is a prerequisite for achieving reasonable low interest rates, as it allows for long-term inflation control and anchors the expectations of economic agents.'
Villeroy further added that the threats to the Federal Reserve have broader implications. He stated: 'Independence is granted by democracy, and attacking this independence not only violates U.S. law but also poses a danger to democracy.'
