Treasury Secretary Scott Bessent Calls For Thorough Review of ENTIRE Federal Reserve

Treasury Secretary Scott Bessent let loose on the Federal Reserve today.

During an interview on CNBC, Bessent called out Jerome Powell and demanded a sweeping review of the “entire Federal Reserve institution and whether they have been successful.”

He went after the so-called ‘experts’ at the Fed for their endless fearmongering over tariffs and inflation, saying,

“All these Ph.D.s over there, I don’t know what they do!”

Watch what he had to say for yourself:

🚨 BREAKING: Treasury Secretary Scott Bessent demands a THOROUGH REVIEW of the "ENTIRE Federal Reserve System."

YES. Audit the Fed.

"All these PhDs over there, I don't know what they do!"

"What we need to do is examine the entire Federal Reserve institution, and whether they… pic.twitter.com/MZYVGG2ay6

— Eric Daugherty (@EricLDaugh) July 21, 2025

BREAKING: Treasury Secretary Scott Bessent demands a THOROUGH REVIEW of the “ENTIRE Federal Reserve System.”

YES. Audit the Fed.

“All these PhDs over there, I don’t know what they do!”

“What we need to do is examine the entire Federal Reserve institution, and whether they have been successful!” “There was fearmongering over tariffs, and thus far we have seen very little, if any inflation. We’ve had great inflation numbers.”

@RandPaul has a bill to accomplish a full review with @SenRickScott. Get that passed and we can start receiving answers.

Later on, Secretary Bessent doubled down in a lengthy post on X.

Read his full statement here:

Today in a CNBC interview, I called for a review of the Federal Reserve. It is my belief that the central bank should conduct an exhaustive internal review of its non-monetary policy operations. Significant mission creep and institutional growth have taken the Fed into areas that…

— Treasury Secretary Scott Bessent (@SecScottBessent) July 21, 2025

Today in a CNBC interview, I called for a review of the Federal Reserve. It is my belief that the central bank should conduct an exhaustive internal review of its non-monetary policy operations. Significant mission creep and institutional growth have taken the Fed into areas that potentially jeopardize the independence of its core monetary policy mission.

As I have said many times, the Fed’s conduct of monetary policy “is a jewel box” that should be walled off to preserve its independence. This independence is a cornerstone of continued U.S. economic growth and stability.

However, this autonomy is threatened by persistent mandate creep into areas beyond its core mission, provoking justifiable criticism that unnecessarily casts a cloud over the Fed’s valuable independence on monetary policy.

While I have no knowledge or opinion on the legal basis for the massive building renovations being undertaken on Constitution Avenue, a review of the decision to undertake such a project by an institution reporting operating losses of more than $100 billion per year should be conducted.

The Fed does regular reviews of its monetary policy framework. I would urge Fed leadership to similarly undertake, publish and implement a comprehensive institutional review across its entire mission to buttress its credibility. It will go a long way towards strengthening the Fed’s credibility with the American people on its core mission of guiding our nation’s monetary policy.

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Do it!

An audit of the Fed is long overdue.

This X user makes a great point:

Any agency losing $100B annually should be under the microscope, they are in no position to balk at this. They had NO business spending $2.5B of OUR (taxpayer) $ while they are so disastrous at handling $.

— Savannah (@BasedSavannah) July 21, 2025

But, it isn’t enough to just say we need to do this.

We need action!

Recently, Senators Rand Paul and Rick Scott partnered on a bill to audit the fed.

More on that from Rand Paul’s website:

Dr. Rand Paul (R-KY) has reintroduced the Federal Reserve Transparency Act, famously known as “Audit the Fed” legislation to require a full audit of the Federal Reserve’s operations and increase congressional oversight of its decision-making. In conjunction with the bill’s reintroduction, Senator Paul also released the latest edition of his Waste Report, which exposed the Federal Reserve’s $600 million cost overrun on renovations to its Washington, D.C. headquarters—now projected to cost taxpayers $2.5 billion in total. The report underscores the lack of transparency and accountability at the Fed, which remains exempt from a full audit by Congress or the Government Accountability Office.

 

“No institution holds more power over the future of the American economy and the value of our savings than the Federal Reserve,” said Dr. Paul. “It’s long past time for Congress to stop shirking its duty and hold the Federal Reserve accountable.”

 

“It is Congress’ duty to hold the Fed accountable,” said Senator Marsha Blackburn (R-TN). “For too long, the Federal Reserve has operated behind closed doors while making decisions that impact the American economy. Throughout my service in Congress, I have worked to audit the Fed, and this legislation is necessary to shine a light on the Fed’s operations and provide transparency to Congress and American taxpayers.”

 

“Idahoans deserve to know what the Federal Reserve is doing to our nation’s economy,” said Senator Jim Risch (R-ID). “Congress must hold the Fed accountable and pull back the curtain on the actions of this unelected Washington establishment.”

 

“I support this effort to provide more transparency to the American people and more insight into how the Federal Reserve operates. This bill is a common-sense step towards good government,” said Senator Todd Young (R-IN).

 

The Federal Reserve Transparency Act would require the independent Government Accountability Office (GAO) to conduct a complete audit of the Board of Governors and the Federal Reserve Banks within one year of enactment and to report its findings to Congress within 90 days of completing the audit.

 

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The legislation is also cosponsored by Senators Ted Cruz (R-TX), Rick Scott (R- FL), and John Barrasso (R-WY).

 

The bill is supported by the National Taxpayers Union Foundation, Frontiers of Freedom Institute, and Young Americans for Liberty.

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