Washington: Kevin Warsh was officially sworn in as the new Federal Reserve chair on Friday, taking the helm of a "reform-oriented" central bank. U.S. President Donald Trump emphasized his desire for Warsh to operate with "total independence" in his new role, marking a distinct shift from the previous administration's approach to the Fed.

According to Yonhap News Agency, the swearing-in ceremony took place at the White House, concluding a period of tension characterized by Trump's frequent criticisms of Warsh's predecessor, Jerome Powell, for not reducing interest rates. Warsh, expressing his dedication to public service, pledged to adhere to the Fed's dual mandate of promoting price stability and maximum employment, emphasizing the importance of "independence and resolve."

Warsh highlighted the potential benefits of pursuing these aims with clarity, suggesting that such an approach could lead to lower inflation, stronger growth, and increased real take-home pay, thereby enhancing America's prosperity and global standing. He outlined his vision for a reform-oriented Federal Reserve that learns from past experiences, adapts to changing circumstances, and upholds clear standards of integrity.

In his remarks, Warsh acknowledged the significant responsibility entrusted to him by the President, committing to serve with gratitude and a focus on the national interest. Trump, in turn, expressed confidence in Warsh's ability to restore trust in the central bank, reiterating his desire for Warsh to be independent and focused on achieving positive economic growth.

During Warsh's Senate confirmation hearing in April, he affirmed his strong support for the central bank's independence while recognizing that elected officials, including presidents, have the right to express opinions on interest rates without compromising the Fed's autonomy.

Trump's comments also included a subtle critique of the previous Fed chair, suggesting that the central bank had deviated from its core mission by engaging in issues such as climate policy and diversity initiatives. He expressed hope that Warsh would redirect the Fed's focus back to its primary responsibilities.

Warsh is set to serve a four-year term as Fed chair and a 14-year term as a Fed governor. His background includes roles as the Shepard Family Distinguished Visiting Fellow in Economics at Stanford University's Hoover Institution and as a lecturer at the Stanford Graduate School of Business. He previously served as a Fed governor from 2006 to 2011 and holds degrees from Stanford University and Harvard Law School.