Atlanta Federal Reserve President Raphael Bostic, the first black and openly gay person to lead one of the central bank’s 12 regional banks, said on Wednesday he will retire at the end of his current term on Feb. 28, an unexpected departure amid a push by President Trump for more influence over the Fed.
Trump does not select the presidents of the regional Fed banks, but the appointments must be approved by the central bank’s Board of Governors, which the president is trying to reshape through the attempted firing of Governor Lisa Cook and the upcoming choice of a replacement for Fed Chair Jerome Powell when his term as Fed chief ends next spring.
All 12 regional presidents are up for reappointment to new five-year terms, a usually quiet process guided by local boards of directors that could be more complex this year should the Trump administration decide it wants more influence in selecting regional leaders.
The 59-year-old Bostic, who is more than five years away from the Fed’s mandatory retirement age, had been outspoken at times during his eight-and-a-half-year tenure about issues of economic equity, particularly in the wake of national social justice protests in 2020.
While that approach did not seem to influence his views on monetary policy, which tended at times to the hawkish to guard against rising inflation, it did spark criticism among conservatives who saw attention to those issues as part of a “woke” Fed straying from its Congressional mandates.
He was also swept up in a central bank controversy about the trading activities of some policymakers. The Fed’s in-house Inspector General said last year that the Atlanta Fed chief had created both the appearance of trading on confidential information and the appearance of a conflict of interest based on how he had managed and reported his personal investments.
‘Proud of what we accomplished’
Bostic, who has a PhD in economics from Harvard University, worked as an academic and policymaker at the Department of Housing and Urban Development before joining the Fed. He did not announce any further plans.
“It’s been my distinct honor and privilege to lead the Atlanta Fed for these past eight and a half years,” Bostic said in a statement about his plans to not seek reappointment to another five-year term. “I feel incredibly fortunate.”
“I’m proud of what we accomplished during my tenure to turn the lofty goal of an economy that works for everyone into more of a reality, and I look forward to discovering new ways to advance that bold vision in my next chapter,” said Bostic, who took on prominent roles in Atlanta civics groups while also traveling to rural parts of his southeastern district in an effort to deepen the Fed’s work on community development.
A search committee will be formed to select his replacement.
“As the leader of the Atlanta Fed, he successfully represented the varied perspectives of the Sixth Federal Reserve District, representing the economic experiences of all Americans in the formation of monetary policy,” said Gregory Haile, the chair of the Atlanta Fed’s board of directors.
“It has been a privilege to serve alongside President Bostic,” Powell said in comments included in the statement released by the Atlanta Fed.
“His perspective has enriched the Federal Open Market Committee’s understanding of our dynamic economy. And his steady voice has exemplified the best of public service – grounded in analysis, informed by experience, and guided by purpose. His leadership has strengthened our institution and advanced the Federal Reserve’s mission.”
