Atlanta Fed President Bostic says he’ll leave position when his term expires in February

Atlanta Federal Reserve President Raphael Bostic announced on Wednesday that he will be stepping down from his position when his term expires in February. Bostic, who has been in office since June 2017, is the first Black and openly gay regional president of the Federal Reserve. His term is set to end on Feb. 28.

During his tenure, Bostic focused on creating an economy that works for everyone and expressed pride in the progress made towards that goal. Looking ahead, he is eager to explore new opportunities to further advance this vision.

The timing of Bostic’s announcement is significant as it comes at a pivotal moment for the Federal Reserve and its rate-setting body, the Federal Open Market Committee. Regional presidents typically serve five-year terms that align with years ending in either 1 or 6. Bostic’s departure in 2023 coincides with this pattern.

In addition to the changes in regional leadership, Federal Reserve Chair Jerome Powell’s term is set to expire in May. Powell, who has been serving as chair since 2018, will continue as a governor until 2028.

Bostic has been viewed as a centrist during his time as president, showing caution in advocating for interest rate cuts amidst concerns about inflation and a weakening labor market. Although he is not a voting member of the Federal Open Market Committee this year, his insights have been valued by the committee.

Following Bostic’s departure, Cheryl Venable, the first vice president and chief operating officer at the Atlanta Fed, will temporarily assume the role of president until a successor is appointed.

Bostic’s term has not been without controversy, as questions were raised about trades he made during blackout periods surrounding policy meetings. While an internal investigation found no evidence of insider trading or personal conflicts, it highlighted the need for stricter controls over Fed officials’ investments.

Despite these challenges, Bostic’s contributions to the Federal Reserve have been praised by Powell and others for his dedication to public service and commitment to economic analysis.

As the Federal Reserve prepares for leadership transitions in the coming year, the appointment of Bostic’s successor will be closely watched to ensure continuity and stability within the central bank.