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The Economic Times

Top News / The Economic Times

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Supply shock, debt may hurt central bank independence, ex-Fed executive says

Former Fed executive Donald Kohn warned that political pressures on central bank independence are likely to increase. Public dissatisfaction over supply-shock inflation may lead politicians to blame central banks, even as their independence becomes more crucial for disciplined policy. Kohn advised central banks to protect their autonomy through clear communication and institutional competence.

27 May 2026 12:39 pm