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Former U.S. Treasury Secretary Yellen: Trump's efforts to lower U.S. interest rates are the actions of a "banana republic."
ME News Report, April 15 (UTC+8), former U.S. Treasury Secretary Janet Yellen stated that Trump’s pressure on the Federal Reserve to lower interest rates to reduce U.S. debt costs is simply a “banana republic” remark.
At the HSBC Global Investment Summit, Yellen issued a warning about the independence of monetary policy, saying she has “never seen such a level of threat to the Federal Reserve.”
“Would a president of a developed country often make statements suggesting that interest rates should be set to lower debt repayment costs?” she asked.
“That’s quite common in ‘banana republics.’”
She said that managing interest rates for government budget considerations has led to “hyperinflation” in some countries. (Source: Jinshi)