In a surprising turn of events, Adriana Kugler, a Federal Reserve Governor appointed by President Biden, has announced her resignation, effective next Friday, August 8.
This development opens a vacancy for former President Trump to fill, stirring the waters of monetary policy once again.
“Dr. Kugler, who has held her position since September 13, 2023, has submitted her resignation letter to President Trump and plans to return to her academic roots at Georgetown University this fall,” the announcement indicated.
More huge economic news: Federal Reserve Gov. Kugler is leaving the board and returning to Georgetown to teach, handing Trump an unexpected vacancy to fill pic.twitter.com/8T9hyCqzBj
— Brendan Pedersen (@BrendanPedersen) August 1, 2025
According to a report from Axios:
Federal Reserve Governor Adriana Kugler will step down next week, as confirmed by the Fed, providing President Trump with a timely chance to appoint a candidate who might challenge the current Chair, Jerome Powell.
Why it matters: Kugler’s departure was not anticipated until January, leaving no other vacancies on the seven-member board.
- This situation grants Trump an immediate opportunity to appoint a new governor who could exert influence on Chair Powell — and potentially vie for his position in the future.
Driving the news: Kugler’s official resignation date is August 8, as she transitions back to her teaching role at Georgetown University, according to the announcement.
- Interestingly, Kugler did not attend this week’s Fed policy meeting, citing personal reasons.
- Kugler previously served as chief economist at the Labor Department before being appointed by President Biden in 2023.
