Powell Defends Federal Reserve Renovation Amid White House Scrutiny

Federal Reserve Chair Jerome Powell has defended the renovation project at the central bank's headquarters in Washington, responding to criticism from the Trump administration. Powell outlined in a letter that the project's scope includes essential safety upgrades and removal of hazardous materials, emphasizing accountability and transparency.

The project, approved by the Fed Board, faces allegations of being exorbitant and unnecessary from Office of Management and Budget Director Russell Vought and the Trump administration. Vought demanded answers from Powell, questioning the legality and necessity of the renovation, which Powell refuted, noting strict adherence to guidelines.

The renovation, which does not involve lavish additions, has become a point of contention between the Fed and the administration. The White House said they are investigating potential misconduct, although no evidence has been presented. Powell reiterated the rationale behind the project to the Senate Banking Committee and online.

(With inputs from agencies.)