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Federal Reserve Governor Adriana Kugler Resigns, Opening Key Position

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Adriana Kugler Federal Reserve Resignation

New York City, U.S. – Federal Reserve Governor Adriana Kugler announced her resignation on Friday, creating a notable vacancy at a crucial time when President Donald Trump seeks to lower interest rates.

Kugler, 55, did not specify a reason for leaving in her letter to Trump, but she noted she will return to Georgetown University as a professor this fall. “It has been an honor of a lifetime to serve on the Board of Governors of the Federal Reserve System,” Kugler stated. “I am especially honored to have served during a critical time in achieving our dual mandate of bringing down prices and keeping a strong and resilient labor market.”

Kugler’s term was set to end in January 2026. A nominee from President Biden, she joined the Board of Governors in September 2023, taking over the unexpired term of Lael Brainard, who left for a position as a Biden economic advisor.

As a governor, Kugler had a permanent vote on the Federal Open Market Committee, which sets key interest rates. Her resignation now allows Trump to nominate someone new for the board. Kugler’s colleagues, including Trump appointees Christopher Waller and Michelle Bowman, recently voted against keeping the Fed’s key rate steady.

Kugler had recently expressed generally hawkish views, stating support for maintaining rates until the effects of Trump’s tariffs on inflation became clearer. Fed Chair Jerome Powell praised Kugler, saying, “She brought impressive experience and academic insights to her work on the Board.”