Former Federal Reserve Chair Jerome Powell used a public appearance at the John F.Kennedy “Profiles in Courage” award ceremony to underscore the importance of central bank independence, in remarks widely interpreted as a subtle critique of former President Donald Trump.

According to reporting from Axios, Powell described the Federal Reserve as undergoing a “stress test,” stressing that its credibility and institutional integrity are essential to maintaining public trust in U.S.monetary policy.

Powell, who stepped down as Federal Reserve Chair on May 15, made his first major public comments since leaving office during the ceremony held at the John F.Kennedy Presidential Library and Museum in Boston.In his remarks, he highlighted the long-standing principle that Congress intentionally insulated monetary policy decisions from political influence.

He argued that these safeguards have historically benefited the public and have generally been respected by administrations from both major political parties.

He warned that if any administration were to remove Federal Reserve officials due to disagreements over policy decisions, it could set a precedent that future administrations might follow, ultimately undermining confidence in the central bank.

Powell emphasized that such a development would erode the public’s belief that interest rate and monetary policy decisions are made based solely on economic analysis rather than political considerations.

The article also referenced the contentious relationship between Powell and Trump during Trump’s presidency, noting that Trump had repeatedly criticized the Fed’s interest rate decisions and even attempted to pressure Powell into lowering rates.

At one point, Trump reportedly sought to remove Powell from his position and publicly challenged him during a visit to the Federal Reserve, leading to a visible disagreement over policy direction.

Powell reiterated in his speech that the Federal Reserve’s mandate requires it to act independently, stating that decisions are based on economic conditions and what best serves the broader U.S.public, not the interests of any political party or individual leader.