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Central banks back US Fed chair Powell amid DOJ probe review

Written by Isaac FrancisPublished jan. 13 2026Last Updated jan. 13 2026

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Global central bank leaders said they stand in full solidarity with Federal Reserve chair Jerome Powell after the United States launched a criminal investigation into him.

The heads of the Bank of England, European Central Bank and Bank of Canada were among 11 senior officials who signed a joint statement defending central bank independence.

Chair Powell has served with integrity, focused on his mandate and an unwavering commitment to the public interest.

The signatories said.

The US Department of Justice investigation is linked to testimony Powell gave to a Senate committee on renovations to Federal Reserve buildings.

President Donald Trump said he did not know anything about the probe, which follows months of criticism of Powell’s interest rate decisions.

Trump has repeatedly attacked the Fed chair, calling him a “major loser” and a “numbskull”, while pressing for more aggressive rate cuts.

To us, he is a respected colleague who is held in the highest regard by all who have worked with him.

Global central bankers said in their statement.

Powell warned publicly that the independence of the US central bank was at stake after largely staying silent during earlier attacks.

This is about whether the Fed will be able to continue to set interest rates based on evidence and economic conditions, or whether instead monetary policy will be directed by political pressure or intimidation.

Powell said.

The Fed has cut interest rates three times since September, leaving its key lending rate at about 3.6%.

US consumer prices rose 2.7% in the year to December, remaining above the Fed’s 2% inflation target.

Several Republican lawmakers criticised the justice department move, warning it could undermine confidence in the Fed.

Former Fed chairs Janet Yellen, Ben Bernanke and Alan Greenspan have also publicly backed Powell and the bank’s independence.

Powell, nominated by Trump in 2017, is due to step down in May, with a successor expected to be named soon.