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Federal Reserve Bank of Kansas City President Esther George to retire in January

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Esther George, Jackson Hole Wyoming

David A. Grogan | CNBC

Federal Reserve Bank of Kansas City President Esther George is retiring in January. She has served 11 years at the U.S. central banks as one of their more hawkish policymakers. A search for her replacement began Wednesday, according to the Fed bank.

Fed bank presidents have rules that require George to be retired by the age of 65. According to a statement, the Kansas City Fed board of directors had hired Egon Zehnder as an assistant in its nationwide search for her replacement.

Her successor will set interest rates for the biggest economy of the world. Fed increases interest rates to battle the highest level of inflation in over 40 years. It is exacerbated by a pandemic, which has left millions dead, as well as Russia’s invasion and subsequent soaring energy prices.

Amidst a high level of turnover among U.S. money policymakers, which is a group consisting of just 19 members when all the positions have been filled, Kansas City’s search for a new Fed leader begins.

This month, the Fed Board’s seven members gained two additional members. Both were Black economists chosen by Joe Biden as filling in for vacant seats. Biden is likely to confirm his nominee for the Board’s 7th and final seat, which is the Fed Vice Chair of Supervision.

A total of twelve Fed regional banks were recently named presidents. The Chicago Fed, however, is still searching for a leader.

George’s 40-year career with the Fed dates back to 1970.

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