‘𝐒𝐞𝐫𝐢𝐨𝐮𝐬 𝐝𝐚𝐧𝐠𝐞𝐫’ 𝐢𝐟 𝐓𝐫𝐮𝐦𝐩 𝐜𝐨𝐧𝐭𝐫𝐨𝐥𝐬 𝐔𝐒 𝐦𝐨𝐧𝐞𝐭𝐚𝐫𝐲 𝐩𝐨𝐥𝐢𝐜𝐲 – 𝐋𝐚𝐠𝐚𝐫𝐝𝐞

European Central Bank chief Christine Lagarde said Monday that it would be very dangerous for the global economy if US President Donald Trump took control of US monetary policy.

Trump is seeking to remove Federal Reserve governor Lisa Cook in a move that critics say aims to fill the central bank with officials who will support his calls for lower interest rates.

Lagarde told France’s Radio Classique that it would be “very difficult” for Trump to completely swing the majority of the Fed’s policymaking body in his favour.

But, she said, “if he were to succeed, it would be a very serious danger for the US economy and for the world economy.”

She noted that the central bank’s policies affect price stability and aims to ensure “optimal” employment.

“If it depended on the diktats of one person or another … the balance of the US economy, and consequently the effects it would have on the entire world, would be very worrying,” Lagarde said.(AFP)