Obama will veto bill to reform the fed in the case of its approval

Moscow. November 18. President Barack Obama will veto the Republican-proposed bill to reform the Federal reserve system, even if it is approved by both houses of Congress, declared the press-service of the White house.

As noted in the press release, such a law would subordinate the fed to the political whims of congressmen regardless of their party affiliation, and would jeopardize the independence of the U.S. Central Bank, which will negatively affect the efforts of the fed is to ensure price stability and low unemployment in the United States.

On Tuesday, the fed Chairman Janet Yellen urged lawmakers to reject the bill on the reform of the Federal reserve, voting for which will take place in the House of representatives this week. In a letter to the speaker of the lower house Paul Ryan and minority leader Nancy Pelosi, the fed chief said attempts to reform the fed’s grave mistake.

According to her, such changes unnecessarily politicize decisions on interest rates.

The bill, which was approved by the House Committee on financial services, requires the fed to develop unified mathematical formula that will determine how the Central Bank adjusts monetary policy, including decisions on rates. Control over the implementation of this rule is proposed for the Main budgetary-control management of the USA (analogue of audit chamber in Russia).